Meadow Foods has announced that it will be increasing its milk price by 1ppl from September 1, taking their standard A litre milk price to 29.50ppl.

The decision to raise the milk price, for the fifth time this year, reflects the fact that dairy markets remain relatively strong.

The company, which has a site in Chester, says it is acutely aware of the pressures that the recent hot weather and lack of rain is causing on forage stocks on farm.

Mark Chantler, chief executive at Meadow Foods, commented: “We’re pleased to be able to pass on to our farmers the continued improvements in the dairy market.

"We do however remain focused on the overall dairy market which are currently giving some mixed messages on prices – with protein prices showing some signs of improvement but cream prices remaining unsettled. We will continue to carefully monitor how both supply and demand develop over the next couple of months and react accordingly.”