Aligned dairy producers supplying the Co-op will receive a 0.35p/litre milk price increase from 22 April.
Farmers supplying the retailer as part of the Co-operative Dairy Group (CDG), which comprises around 220 members, will have their milk price increased to 31.85p/litre.
“We have taken the decision to increase the premium we offer on milk after talking to our CDG members, who have had to contend with the effects of an extremely poor winter and the impact this has had on costs,” said Co-operative Food chief executive Steve Murrells.
“While the retail sector in which we operate faces many challenges, we are committed to supporting British farming and we believe this is the right course of action as we continue to build relationships with our farmers and ensure they receive a fair price for their milk.”
Dairy Crest formula price drops
The May milk price for Dairy Crest’s new formula-based milk contract has dropped by 0.033p/litre.
The contract, which launched last month with an initial price of 29.95p/litre, tracks five key costs before calculating a monthly milk price.
The key cost areas are: bulk cream, retail liquid milk (four pints), concentrates, fertiliser and red diesel.