The main milk buyer in the north and north-east is the latest processor to announce plans to cut the price it pays farmers for their milk.
Muller Wiseman has confirmed its standard litre milk price will fall by 1p to 23.15p a litre from August 1.
The company’s head of milk supply Martin Armstrong said: “All around the world, the imbalance between supply of milk from farms and demand for dairy products is weighing heavily on milk prices.
“We cannot buck this market, but we will continue to invest to increase the range of added value dairy products which we supply.”
Chair of the Muller Wiseman Group, Philip Rowney, said the news would not be welcomed.
“It is a reality that the off farm production is far higher than last year and this is affecting the market,” he said.
“We will continue to work with the Muller management team to maintain as much stability as possible during what is an extremely volatile and damaging period for the British dairy farming industry.”
Muller’s price cut announcement follows news of cuts by First Milk and Arla.
Producers supplying First Milk experienced a 1p a litre price cut today, leaving them with a milk price ranging between 14 and 16.5p a litre for their milk.
While, Arla confirmed earlier this week that its price will fall by 1.18p to 23.81p a litre on Monday July 6.
In January the Press and Journal launched a campaign to help struggling dairy farmers. The campaign, which has been backed by local producers, calls on members of the public to buy more British and Scottish dairy produce.