Supermarket Morrisons is to launch a new brand, "Morrisons Milk for Farmers" which will sell at 10p a litre more than usual, with the extra money being passed on to the crisis-hit dairy industry.
The Bradford-based chain has been one of the main targets for protesters from the farming industry who have stripped milk from the shelves before dumping the produce or giving it away for free.
Industry leaders met Morrisons bosses to try to tackle falling milk prices which, the National Farmers Union (NFU) says, will lead to dairy farmers being forced to leave the industry in the next few weeks as they struggle to pay bills and face rising debts.
One of the country's biggest milk processing firms,which has faced protests and blockades by farmers, has abandoned its plans to cut the price it pays for milk.
Robert Wiseman Dairies has announced it is scrapping plans to cut the price it pays dairy farmers for milk. It is the last of the major milk processors to make an announcement following concerted protests and blockades of its plants by farmers.
It had planned a 1.7 pence per litre price reduction, but now says the price it pays to farmers will not change in August as originally planned.
The Archbishop of York has added his voice to calls for the region's farmers to be paid a fair price for their produce. Dr John Sentamu warned that supermarkets were dangerously failing to value the agricultural industry.
Last night farmers blockaded the Arla milk processing plant in Leeds to protest against continued cuts.
Around five hundred dairy farmers are protesting outside a food processing plant in Leeds tonight. Farmers For Action, who organised the event say they are not being paid a fair price for their milk and want plans for further price cuts at the end of the month to be scrapped.
Farmers in the region are angry that two milk companies are cutting the price of milk.
First Milk and Milk Link have announced that from next month they are reducing prices. Dairy producers say the consequence will be a substantial loss in income.
For some farmers they could see a reduction in at least £1,500 a month. Milk Link is reducing its price by 1.5p per litre and First Milk by 1.85p per litre.
However, the milk companies say that they have to reduce their prices because of declining returns from the liquid, whey and powder markets.