The price of fresh milk is to increase for the second time in a year, Malta Dairy Products has announced. 

From next week, the price of one-litre packs of whole milk, semi-skimmed and skimmed milk will rise from €1 to €1.15 while lactose-free milk will cost €1.40, up from €1.25.

Half-litre packs of semi-skimmed and skimmed milk will increase from 58c to 66c, that of lactose-free milk from 70c to 77c.

Malta Dairy Products said the new prices will be effective as of December 22.

Malta Dairy Products said that the rise is due to significant increases in production and operation costs.

The company had already increased prices in June this year.

It said that it could no longer absorb the rising costs of provisions, raw materials and services, as it has been doing for the past five years.

MDP said that despite putting in place several measures to reduce costs, such as simplifying operations and optimising production processes, the significant increase in costs had not been completely covered.

"The sustained rise in production and operational costs has reached an unsustainable point for the company’s operations," it said.

"After careful consideration, Malta Dairy Products finds it imperative to adjust prices accordingly to ensure the Company's sustainability while securing a favourable future for local farmers and its workers."

The company issued a similar statement when prices rose in June.

A spokesman for the company said that while it had not been an easy decision to raise prices, it had become essential for the company to retain competitiveness and quality standards.