First Milk has announced a round of 0.5p/litre milk price increases for implementation between December and January.
Farmers supplying the liquid pool will receive 29.15p/litre from 1 December – this follows a 1p/litre increase in October and 1.6p/litre rise in November.
Those supplying both the cheese and balancing pools will receive 28.5p/litre from 1 January onwards.
The 0.5p/litre cheese pool increase follows a 1p/litre increase in November and a 0.75p/litre increase from 1 December.
Producers supplying the balancing pool will see their 0.5p/litre increase delivered in two stages – 0.25p/litre on 1 December and 0.25p/litre on 1 January – following on from a 0.75p/litre increase in November and a previously announced 0.65p/litre increase for 1 December.
First Milk chairman Bill Mustoe said: “The liquid market has been bouncing around over the past six months. As recently as July, some companies were announcing prices of below 25p/litre, but there has clearly been increases since then, supported by a mix of tight volumes and stronger cream returns. With cheese stocks now tightening, we fully expect market prices for cheese to strengthen in 2013.”