First Milk will increase the price they pay to ex-DFB producers on Milk Supply Contracts by 1ppl (to 19.65ppl) from 1 September.
In a letter to producers, chairman Richard Greenhalgh said:
"From September we will be putting increased volumes of milk into our Lake District creamery to keep up with consumer demand for our Lake District cheese range. In addition, we are also seeing some pick-up in demand from the spot market.
"Both of these factors give us the ability to improve the price that we can pay to you. We will therefore increase your Standard Litre milk price by 1ppl from 1st September 2009.
"We will continue to keep your milk price under review based on market returns."
First Milk has committed to write to these producers shortly to outline membership terms.
Notes to Editors:
-The First Milk member milk price is unchanged at 22.06ppl
-The Ex-DFB producers are located in England and Wales
For further information, please contact:
Group communications director
T: 0141 8476789
M: 07767 241452