Farmers who supply Medina Dairy will see a 2.70p pence per litre increase in the processor's standard litre price starting from 1 July.
The increase will mean the firm's average standard litre price for July will be 28.24 pence per litre, Medina Dairy said.
The processor, which sources from 157 farmers, is a major supplier of fresh milk, dairy and bakery products to the retail and foodservice sectors.
The dairy firm was one of the hardest hit by the impact caused by the UK's coronavirus lockdown period.
Medina supplies thousands of hotels, pubs, restaurants and coffee shops both directly and through a range of wholesale customers.
The processor also supplies dairy to 150 hospitals and 110 care homes as well as some 7,000 local convenience stores.
It follows numerous other dairy processors increasing their milk prices during the summer months.