PRESS RELEASE from Organic Herd 27th August 2024

Organic Herd increases Member milk price to 56ppl from October

The co-op completes its 3rd year of continuously maintaining or increasing its price, attracting the next generation of organic dairy farmers.

Following on from its 3ppl rise for August, Organic Herd, the leading British farmer-owned co-operative dedicated to organic dairy, has announced a further 2ppl increase in its Member

milk price effective from 1st October 2024. The increase will take the Organic Herd price to a record 56ppl on a standard litre basis.

Having either maintained or increased the milk price on a continuous basis since October 2021, the co-op believes it is leading the field in demonstrating that the UK organic dairy

sector can deliver a stable, sustainable and importantly positive long term outlook for UK producers.

The latest price rise reflects the increasing value being placed on, and growing demand for, British organic dairy products. It is also in line with Organic Herd’s focus on not simply being drawn into short term, situational pricing, which was the norm for the organic sector three years ago when the co-op started its new journey. In doing so, it is giving the up and coming generation of farmers a compelling reason not only to continue or start farming organically,

but also importantly enabling them to grow their businesses and encouraging them to be a part of a progressive British co-operative.

Commenting on the October milk price increase Martyn Anthony, Organic Herd’s Chief Executive said: “Our strategy remains one of creating long term stability and growth, by generating returns to farmers that reflect the true value of, and demand for, the high quality food we produce, not a milk price that simply mirrors the ups and downs of conventional commodities. Our latest increase therefore reflects Organic Herd’s commitment to paying a stable and sustainable milk price to both the current and next generation of dairy farmers.

“We are the only business to have either maintained or improved returns to farmers continuously since October 2021. In doing so we are giving our producers a compelling reason not only to continue farming organically, but also importantly enabling them to

progress their businesses, in turn securing a sustainable growth in supply.”

The latest boost to the Organic Herd milk price follows an exciting period of recruitment into the co-op’s milk pool in which both organic and converting producers have signed up. While, at the same time the team are extremely pleased to be working with an array of new entrants to dairy.

Commenting further, Sara Ogborne Organic Herd’s Director of Membership and Communication said, “From Scotland down to the South West of England we are receiving great interest from existing organic dairy farmers considering joining Organic Herd. At the

same time, it’s exciting to see a new generation of dairy farmers not only looking at moving into organic production but also buying into the positive merits of being part of a 100% British farmer owned co-operative.

“What is striking when talking to these younger and highly ambitious farmers is that, although today’s milk price is important to them, they are equally striving being part of a stable, sustainable supply chain. The recurring message is that they want to be part of a sector that is focused on long term value creation, rather than accepting the norm of volatile milk prices which can be so detrimental to their business. They are also attracted by our

progressive approach to ‘shaking up the dairy industry’ through creating our range of Organic Herd branded dairy products and shouting about all the ways in which ‘how we farm matters’.”

Commenting on the future prospects for the organic dairy sector, Martyn Anthony, Organic Herd’s Chief Executive said: “There are clear market signals that consumer demand for high quality British organic milk and dairy products will continue to strengthen, while at the same time production is likely to remain constrained in the short to medium-term. We therefore believe that with continued proactive work by the team in delivering value driven returns,

enabling sustained growth in production by our Members, the outlook for the organic dairy sector is positive.”