?url_ver=Z39.88-2004&rft_val_fmt=info%3Aofi%2Ffmt%3Akev%3Amtx%3Adc&rft.title=Market+Review+of+the+Organic+Dairy+Sector+in+Wales%2C+2007&rft.creator=Smith%2C+Carolyn&rft.creator=Frost%2C+David&rft.creator=van+Diepen%2C+Pauline&rft.creator=Chrisholm%2C+Claire&rft.subject=+Markets+and+trade&rft.subject=+Dairy+cattle&rft.description=In+the+UK%2C+in+January+2006%2C+the+total+area+of+organic+and+in-conversion+land+was+619%2C852+ha.+This+represents+a+decrease+of+8%25+compared+to+January+2005.%0D%0AIn+Wales%2C+in+January+2006%2C+the+area+of+fully+organic+land+increased+to+5%25+of+the+total+area+of+agricultural+land.+The+number+of+organic+producers+and+growers%2C+including+those+in-conversion%2C+increased+from+618+in+2003+to+688+in+2006.%0D%0AOrganic+producers+represent+approximately+4%25+of+all+farmers+in+Wales.%0D%0AWelsh+organic+producers+represent+16.6%25+of+the+UK+total+number+of+organic+producers+and+growers.%0D%0AUK+organic+milk+production+increased+from+17+million+litres+in+1997%2F8+to+over+300+million+litres+in+2005%2F6.%0D%0AIn+Wales%2C+in+2005%2C+dairy+and+milk+products+represented+26%25+of+the+total+gross+product+of+Welsh+Agriculture.%0D%0AIn+March+2007%2C+according+to+data+supplied+to+ADAS+by+certification+bodies%2C+there+were+86+fully-organic+dairy+producers+in+Wales+and+12+in+conversion.+This+represents+4%25+of+the+total+number+of+dairy+producers+in+Wales.%0D%0AIn+2005%2C+an+estimated+50+million+litres+of+milk+were+produced+on+108+organic+farms+with+ca.+9%2C500+dairy+cattle+%C3%A2%C2%80%C2%93+the+number+of+holdings+is+higher+than+the+ADAS+2007+figure%2C+but+some+may+have+been+in+suspended+conversion+due+to+the+lack+of+a+market%2C+or+have+subsequently+withdrawn+from+milk+production.%0D%0AThe+12+producers+who+started+conversion+in+2006+will+supply+an+estimated+additional+12+million+litres%2Fpa+of+organic+milk+when+converted.%0D%0AThere+has+been+a+marked+increase+in+requests+for+OCIS+advice+from+dairy+farmers.+These+increased+from+4+in+2004+to+71+in+2006.%0D%0AKey+challenges+facing+organic+dairy+farmers+in+Wales+include+milk+price%2C+forage+production+and+optimising+milk+from+forage.%0D%0AThe+UK+dairy+sector+holds+the+second-largest+share+of+the+organic+market+with+an+estimated+%C3%82%C2%A3294m+sales+at+retail+level+in+2005+and+22%25+of+the+overall+organic+market.+The+majority+of+organic+milk+enters+the+liquid+market.%0D%0AOrganic+dairy+consumers+are+primarily+ABC1.+They+have+diverse+shopping+habits%2C+use+a+variety+of+retail+outlets+and+want+information+to+assist+in+purchasing+decisions+and+to+justify+price+premiums.%0D%0AThere+appears+to+be+a+positive+correlation+between+increases+in+sales+of+organic+milk+and+dairy+products+and+the+publicity+given+to+research+findings+about+the+health+benefits+of+organic+milk.%0D%0ASales+of+organic+liquid+milk+in+the+UK+grew+from+73.8+million+litres+in+2004+to+158+million+in+2006.+Because+of+increased+demand%2C+the+UK+market+moved+from+oversupply+to+seasonal+undersupply.+Projected+growth+in+demand%2C+if+fulfilled%2C+will+create+new+opportunities+for+producers+willing+to+convert.%0D%0AKey+market+drivers+identified+by+stakeholders+were+publicity+on+the+health+benefits+of+organic+milk%2C+animal+welfare+concerns+and+increased+interest+from+major+retailers.+Main+constraints+on+the+development+of+the+organic+dairy+market+were+under-supply%2C+lack+of+promotion%2C+distribution+issues%2C+seasonality+of+production%2C+increased+feed+costs+and+lack+of+processing+facilities.%0D%0AThe+main+strategies+needed+to+develop+the+organic+dairy+market+identified+by+stakeholders+were+co-operation%2C+increased+conversions%2C+consumer+education%2C+a+higher+profile+for+organic+food+and+long+term+supply+chain+agreements.%0D%0AThe+Welsh+Organic+Dairy+sector+has+seen+considerable+product+innovation+since+2003.%0D%0A%0D%0ARecommendations%0D%0A1.+A+joint+effort+by+the+whole+organic+dairy+industry+is+required+to+plan+ahead+to+ensure+that+the+number+of+dairy+farm+conversions+will+not+lead+to+a+repetition+of+the+oversupply+problem+experienced+in+the+past.%0D%0A2.+Consideration+should+be+given+to+setting+up+an+Organic+Dairy+Sub-Group+in+Wales.%0D%0A3.+The+numbers+of+farms+converted+and+in-conversion+needs+to+be+accurately+monitored.%0D%0A4.+Advice+and+technical+knowledge+on+organic+dairy+farming+needs+to+be+made+available+through+Organic+Centre+Wales.%0D%0A5.+The+industry+needs+to+look+into+ways+of+encouraging+more+organic+cereal+and+alternative+protein+crops+to+be+grown+in+order+to+prevent+the+shortage+of+organic+feed.%0D%0A6.+Continued+research+is+needed+to+address+the+issues+identified+in+this+report.%0D%0A7.+It+is+important+that+organic+dairy+farming+research+should+be+continued+at+Ty+Gwyn%2C+Trawscoed.%0D%0A8.+There+is+a+need+to+continue+to+increase+the+public+awareness+of+organic+farming+and+agriculture+as+a+whole.%0D%0A9.+Welsh+branding+of+organic+products+should+be+developed.%0D%0A10.+The+Welsh+organic+dairy+industry+should+examine+ways+of+increasing+sales+particularly+through+outlets+other+than+the+multiple+retailers.&rft.date=2007-06&rft.type=Report&rft.type=NonPeerReviewed&rft.format=application%2Fpdf&rft.identifier=http%3A%2F%2Forgprints.org%2F11069%2F1%2Fwelsh_organic_dairy_market_review_final.pdf&rft.identifier=Smith%2C+Carolyn%3B+Frost%2C+David%3B+van+Diepen%2C+Pauline+and+Chrisholm%2C+Claire+(2007)+Market+Review+of+the+Organic+Dairy+Sector+in+Wales%2C+2007.&rft.relation=http%3A%2F%2Forgprints.org%2F11069%2F