Asda announces milk pay increase for farmers

Supermarket giant Asda has announced that it is to increase the amount it pays to the farmers who produce its milk by 2p a litre.

From August 1 its 272 Dairylink farmers will continue to be paid 27.5p per litre for the milk they produce for us, offsetting a cut previously announced by milk processing company Arla.

The company said the additional money was worth around £30,000 a year and meant the price the farmers are paid will not reduce on August 1 as previously feared.

Karl Martin, commercial director for dairy, said: "We have listened to the concerns of our dedicated dairy farmers and recognise the financial pressures they are under. As a result, from 1st August we will increase the premium we pay from 1p per litre to 3p per litre.”