Dairy cows feeding© Tim Scrivener

Dairy Crest has raised its Davidstow milk price by 2p/litre, taking it to 28p/litre from 1 January next year.

The processor, in conjunction with producer organisation Dairy Crest Direct (DCD) has pledged a further 2p/litre increase from 1 February, when prices will hit the 30p/litre mark.

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Milk prices for DCD’s 370 or so producers on Davidstow contracts will have risen by 38% once both rises have been applied.

“As the market continues to strengthen, we want to reflect this in the price we pay to our farmers,” said Dairy Crest head of procurement, Ruth Askew.

She added: “This significant move reflects Dairy Crest’s determination to build confidence and resilience within our milk pool.”

DCD chairman, Steve Bone said the double commitment would give farmers a much-needed boost in confidence over the winter period.