Farmers who supply Muller can earn an additional payment of 1p per litre in 2021 if they participate in a new programme.
The dairy processor's Advantage scheme aims to help up to 600 Muller Direct farmers operate progressive enterprises whilst also addressing a range of important issues.
Support to help improve supply chain collaboration, herd health and reductions in environmental impact will be provided.
These include reducing the use of antibiotics, sustainable sourcing of animal feed, reductions in energy and water use, recycling and enhancing biodiversity.
Participation will be incentivised, with an opportunity for farmers to earn an additional payment of 1ppl in 2021, equivalent to £15,000 for a 1.5m litre per annum producer.
Rob Hutchison, chief operating officer at Muller said: “We aim to be Britain’s private label dairy leader and to get there, we need to be the partner of choice for our customers, farmers and suppliers.
“It is crucial that we build on progress already made to date, which includes, for example, a 30% reduction in antibiotic use.
“With Muller Advantage, we’re confident that farmers, customers and consumers will benefit,” he said.
Muller Direct farmers are those farmers who supply conventional or organic milk directly to the dairy processor.
It excludes farmers who are in an Aligned Milk Pool.