The co-operative said it was due to better returns coming through from the market, as well as improved business performance.
First Milk has today announced a price increase of 1.2 pence per litre from July 1 on a liquid standard litre basi.
It takes the First Milk price on a liquid standard litre to 27.20ppl, whilst the manufacturing standard litre will be 28.12ppl.
Jim Baird, Vice Chairman and farmer director, said: “We have strived to deliver as much stability as we can to our members during the most recent period of volatility.
“It is encouraging to see that commodity dairy markets have been improving in recent weeks, and our price increase for July is a result of better returns coming through from the market, as well as improved business performance.
“As always, we are focused on maximising member milk price, and will continue to pass on any further increases as soon as we can.
“We are focused on developing customer relationships and growing First Milk.
“To meet growing demand and further improve our operational performance, we have recently started a £6.5m investment project at our creamery at Haverfordwest that will expand capacity by 20%.
“As such, we are well placed to utilise additional milk from our farmers, who are able to grow their businesses without restriction, encouraged by our production bonus and with the security of an evergreen contract.
“In addition, we have been proactively taking on new members and suppliers across the country, with additional milk volume coming through in the year.”