Overview

Dairy has been one of the fastest growing segments of the organic foods industry. According to the Organic Trade Association, sales of organic milk in 2007 were over $1.3 billion but only accounted for 2.7 percent of the nation's total milk sales, up from 1.7 percent the previous year. Organic milk can cost considerably more than standard milk; the national price premium for organic milk averages $1.99. However, consumer demand continues to grow at an annual rate approaching 20 percent. Organic milk is now available in nearly all retail food stores.  May 2008 . . . Organic Dairy

Marketing

• Big Firms Crave Taste of Organic Milk’s Success, The Christian Science Monitor, 2003 - Food companies position themselves for the organics market.
• Buying Behavior in Response to Milk Labeling, Food System Research Group, University of Wisconsin-Madison, 2003 - This fact sheet explains the results of research conducted to gauge consumer willingness to pay for milk labeled organic.
• Demand for Organic and Conventional Beverage Milk, University of Arizona, Department of Agricultural and Resource Economics, 2000 - This research study used national-level supermarket scanner data to compare retail sales of organic and conventional beverage milk.
• Dairy, Briefing Room, Economic Research Service, USDA. 
• Fourth National Organic Farmers' Survey: Sustaining Organic Farms in a Changing Organic Marketplace (Full Report), Organic Farming Research Foundation, 2004 - OFRF's National Organic Farmers' Surveys have collected data about organic farmers and farming for the years 1993, 1995, 1997 and 2001.
• Fourth National Organic Farmers' Survey: Sustaining Organic Farms in a Changing Organic Marketplace (Executive Summary), Organic Farming Research Foundation, 2004.
• How Consumers Value rBST-free and Organic Milk in the Marketplace, University of Wisconsin-Madison, 2003 - This study looks at consumer willingness to pay for milk that is rBST-free, organic and unlabeled.
• The Market for rBST-free and Organic Milk, University of Wisconsin-Madison, 2003 - This study reviews the market for rBST-free milk, organic milk and unlabeled milk.
• Market Trends, Organic Trade Association.
• Organic Milk Production Costs and Returns in 2005, ERS, USDA, 2007 - USDA's 2005 Agricultural Resource Management Survey (ARMS) included a sub-sample of organic dairies and collected detailed information about the production practices and costs on dairy farms in 24 states representing over 90 percent of national milk production. For more information, see the report A Comparison of Conventional and Organic Milk Production Systems in the United States. 
• Organic Becomes More Ordinary, Cooperative Partners Online, 2004 - This fast-growing ag niche is gaining wider acceptance.
• Organic Exemption, Ag Marketing Service, USDA, 2005.
• Organic Farming and Marketing, Economic Research Service, USDA - This site provides a wealth of statistics related to organic products.
• Organic Products, Foreign Agricultural Service, USDA - The FAS Organic Products Web site offers a bi-monthly newsletter and information on the international marketing of organic products.
• The Organic Trade Association - This Association works to promote organic products in the marketplace. Its membership includes growers, shippers, processors, certifiers, farmer associations, brokers, manufacturers, consultants, distributors and retailers.
• Retail and Consumer Aspects of the Organic Milk Market, ERS, USDA, 2007 - Consumer interest in organic milk has skyrocketed, resulting in rapid growth in retail sales of organic milk. Most organic milk is sold in supermarkets, and organic price premiums are large and vary by region. 
• A Study of Marketing Issues with Organic Milk, Kansas State University, 2002 - A look at consumer trends, especially the current trend moving toward organic consumption.
• Survey Quantifies Cost of Organic Milk Production in California, California Agriculture, 2002 - This study reports the differences in production costs between organic and conventional milk production.

Processing/Manufacturing

• National Organic Program, USDA - Governing body for organic standards, labeling and regulations. Includes a list of state by state certifying agencies and regulatory changes.
• Organic Milk Processing Feasibility Study, "A Catalyst for Thought," Kansas Department of Commerce, 2003 -  Included in this study are an overview of the dairy industry in Kansas, the current trends and the process of organic milk processing. Further, fundamental issues of Federal Milk Marketing Orders, seasonality of production and demand are also addressed.

Production

• Accredited Certifying Agents, National Organic Program.
• Ag Marketing Service, USDA.
• The Changing Landscape of U.S. Milk Production, Economic Research Service, USDA  - This report examines quantity of milk produced and the location, number, size and business organization of U.S. dairy farms.
• A Comparison of Conventional and Organic Milk Production Systems in the United States, ERS, USDA, 2007 - USDA's 2005 Agricultural Resource Management Survey (ARMS) included a sub-sample of organic dairies and collected detailed information about the production practices and costs on dairy farms in 24 states representing over 90 percent of national milk production. For more information, see the report A Comparison of Conventional and Organic Milk Production Systems in the United States. 
• Organic Livestock Feed Suppliers, Appropriate Technology Transfer for Rural Areas (ATTRA) - This is a listing of certified organic livestock feed suppliers. Contact information is provided for each company along with a brief description of rations and specialty items. Other helpful organic resources are listed at attra.ncat.org.

Businesses/Case Studies 

• Case studies of several dairy farmers in the Northwestern United States, who are raising organic milk, are linked here. Some of the producers are processing the milk on their farms and marketing through retail channels, while others are selling directly to the consumer.
• Clover Stornetta Farms, Petaluma, California - This farm provides dairy products to the north and bay areas of California. Most of the organic milk is produced from St. Anthony's Farm, with a milking herd of about 230 cows on 300 acres. The milk is certified by Quality Certification Services (QCS), a USDA-accredited certifier.
• The end of farming for me, for now, The New Farm, 2007 - This beginning farmer started up an organic dairy but is now out of business. His article focuses on pitfalls and mistakes that he feels he made.  
• Horizon Organic - This Colorado-based dairy, which owns a farm in Idaho and Maryland, offers a full line of certified organic milk, dairy egg and juice products. It also purchases organic milk from farm cooperatives across the United States.
• Northeast Organic Dairy Producers Alliance - A resource for organic dairy farmers, organic milk producers and consumers interested in organic dairy farming and products. Includes free classifieds for farmers.
• Organic Dairy Producers Profit, Market to Market, Iowa Public Television, 2003 - Organic Valley of Lafarge, Wisconsin, is the nation’s largest farmer-owned organic dairy cooperative.
• An Organic Dairying Overview from the Krusenbaum Farm Studies, Center for Integrated Agricultural Systems, 1995 - This site provides an overview of how Altfrid and Sue Krusenbaum of Elkhorn, Wisconsin, made the transition from conventional to organic dairying.
• Organic Valley™ claims to be the largest organic farmer-owned cooperative in the United States. The Wisconsin-based cooperative represents more than 600 farm families in 18 states.
• Organic Valley Family of Farms, Cooperative Regions of Organic Producer Pools, La Farge, Wisconsin - Headquartered in a rural town, CROPP is one of the most successful farmer-owned food cooperatives in the country.
• Seasonal Dairy Grazing: A Viable Alternative for the 21st Century, American Farmland Trust and the Center for Agriculture in the Environment, 2003 - This case study looks at six successful dairy farms using seasonal calving and management-intensive grazing.
• Springfield Creamery, Springfield, Oregon - In the late 1960s, dairy producers Chuck and Sue Kesey first started to do custom bottling and provided milk to local schools. With the growth of the natural foods movement in the early 1970s, they saw an opportunity to try something new. They were interested in the emerging concept of incorporating beneficial cultures into their yogurts. Today Springfield Creamery produces an average of 20,000 gallons of yogurt and 15,000 pounds of cottage cheese each week.
• Straus Family Creamery is a small, family-owned dairy farm located in Marin County, California. All products are produced in accordance with the California Organic Foods Act. The creamery also offers milk, yogurt, ice cream and butter that is certified kosher. Refundable glass milk bottles are used. 

Links checked February 2008.