Cumbrian dairy farmers could feel the benefit of the latest deal struck with a supermarket on the back of price protests.

Tesco has said it will extend its sustainable pricing model to cheese supplied from two suppliers, including First Milk.

First Milk, with its Aspatria creamery supplied by hundreds of farmers, is the biggest player in Cumbria’s massive dairy industry.

Tesco has promised to pay 29.93p per litre for the milk that goes into its cheeses throughout this winter – but with a requirement that processors must transparently distribute the money involved back to the farmer.

The move follows price hikes introduced for some milk brands at Asda and Morrisons on the back of protests that saw Cumbrian dairy farmers take to supermarket aisles in anger, stripping shelves of milk.

National Farmers’ Union (NFU) dairy board vice-chairman Michael Oakes said: “We are pleased that Tesco has recognised the challenging time the dairy industry is currently facing.

“This is especially welcome as we are heading towards the winter – as farmers face significantly higher costs of production while cows are housed.

“This is a significant move from Tesco, as it extends its Tesco Sustainable Dairy Group’s cost of production model to its cheese supply base. This is on top of its move to 100 per cent British yoghurt in March 2016.

“This is the first retailer we have seen to make this move. This is a positive step given the current environment.

“Consumers have made it clear that they want to see a dairy sector that is sustainable in the long-term and all retailers need to be accountable for this.”

Many dairy farmers fear for their financial futures on the back of a series of devastating price cuts in the past year.

Their concerns have been highlighted at a series of top-level meetings in Cumbria.

Farmers For Action (FFA) chairman David Handley has spoken with many county farmers about their concerns and welcomed the Tesco development.

He said: “The NFU and FFA have held positive talks with Tesco and we are pleased that it has listened to our very real concerns and is offering some kind of security for our struggling dairy industry.

“We need the processors to ensure they can pass on the benefits of this commitment back to our dairy farmers on the ground.”

Meanwhile, a further fall in prices to First Milk suppliers has recently kicked in.

Chairman Sir Jim Paice said: “The First Milk board met and discussed the progress of our turnaround plan and the current markets within which we operate. We will be updating members on these topics at a nationwide round of meetings.

“However, on account of dairy product prices remaining very weak, the September A price will reduce by 0.2ppl for our balancing milk pools and by 0.3ppl for the manufacturing milk pools.”