Organic Centre Wales Factsheet 21: The organic dairy market

Summary

During spring 2001/02 organic dairy farmers throughout the UK found themselves in a situation of oversupply, which led to a collapse in milk prices and 37 per cent of organic milk being sold onto the non-organic market. However, the total annual production of organic milk in the UK has stabilised and consumer demand for organic dairy products is growing so it is unlikely to be long before the ‘supply – demand imbalance’ is rectified, potentially leading to an increase in the price paid for organic milk. This factsheet discusses challenges facing the organic dairy sector, marketing opportunities for organic dairy producers, recommendations for producers and a list of sources for further information.