Arla UK has unveiled a new liquid milk option that will see an extra 25p from the retail price returned directly to dairy farmer suppliers. The new range liquid milk, which includes both semi-skimmed and whole milk offerings, will be branded Arla Farmers Milk and will retail at £1.20 in the ASDA retail chain.

This represents a 25p premium on the ASDA own-label milk range, which sells for £0.95. However, Arla believes its new premium range will perform based on research that shows almost two-thirds of UK consumers (63%) said they would pay more for dairy products if they knew the extra money goes directly back to farmers.

Arla UK says the extra money from this new liquid milk option will be shared among its 12,700 farmer suppliers, regardless if they supply manufacturing or liquid milk to the co-op.

“The launch of this new milk is a great boost to our dairy farmers. People want to know more about where their food comes from and who benefits and are willing to pay more if they know it goes directly to the farmers that produce it,” said Arla board member Jonathan Ovens.