First Milk has dropped its manufacturing milk price by 1.15p/litre from July.
The co-op’s farmers on manufacturing contracts will be paid 30.85p/litre, while those on liquid contracts will receive the unchanged price of 30.5p/litre.
Last month the business cut its manufacturing pool price by 0.5p/litre and liquid price by 2p/litre.
First Milk’s move followed cuts by two of its main competitors on Friday: Dairy Crest dropped its liquid price by 1.25p/litre and Arla reduced the price it paid non-co-op members by 1.5p/litre.
See also: Arla drops milk price by 1.27p/litre
“Unfortunately, the downward trend within dairy commodity markets has continued, albeit the rate of fall has thankfully slackened in recent weeks,” said First Milk chairman Sir Jim Paice (pictured).
“While the peak of our domestic spring flush has passed, the global dairy market remains uncertain and we continue to watch it carefully.
“The investments we have made in areas such as sports and lifestyle nutrition are now beginning to pay off and over the longer term these will transmit into milk price.”
A series of farm roadshows from 12 June will see Sir Jim visiting all regions of First Milk’s membership. The events are also open to non-members of the co-op.