Overview

In 2011 nearly 2.1 billion pounds of organic milk products were sold, a 14.5 percent increase from the previous year and the second year in a row that sales increased by double digits. That amount represented nearly 4 percent of all milk products sold that year. On the other hand, the volume of total milk product sales dropped for the second year in a row.  (AMS, USDA)

Before the recent recession, organic milk cost considerably more than standard milk. At its peak, the national price premium for organic milk averaged $18.00 more per 100 pounds. In 2011 the average price of organic reduced fat (2%) milk was $3.75 per half gallon, while the average price of organic whole milk was $3.74 (AMS, USDA).  January 2013 ...  Organic Dairy

Marketing

• Maintaining the Integrity of Organic Milk, Mark Kastel, Cornucopia Institute, 2006.
• 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 Dairying: Can It Work For You?, University of Maine, 2008 - Outlines the points to consider when evaluating a transition to organic dairy production.
• Organic Dairy Market Hurt by Low Prices, Rural Cooperatives magazine, USDA, 2010 - CROPP Cooperative, producers of Organic Valley products, formed the first organic dairy pool in the United States. When the recession hit, the organic dairy market dropped from a 25-percent growth rate down to no growth. In response, the cooperative implemented a mandatory supply reduction of 7 percent from the average of the last 3 years of milk production.
• Organic Dairy Market News, Ag Marketing Service (AMS), USDA - Includes biweekly Organic Dairy Report and biweekly overviews of the organic dairy market, retail sales and fluid milk.
• Organic Dairy Sector Evolves To Meet Changing Demand, Amber Waves, Economic Research Service (ERS), USDA, 2010 - Despite being more costly to produce, organic milk production more than tripled in 5 years, but more recently, growth has slowed in the wake of the weaker U.S. economy.
• Organic Milk Sales Volume, ERS, USDA.
• Organic Livestock Requirements, National Organic Program, AMS, USDA,  February 2013 - This fact sheet clarifies requirements for livestock to be certified organic. This fact sheet especially focuses on the ruminant pasture standards.
• Organic Retail Milk Prices, AMS, USDA.
• 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.
• Shades of Green: Quantifying the Benefits of Organic Dairy Production, The Organic Center, 2009 - This calculator helps consumers, dairy farmers and food companies estimate the environmental, public health and animal welfare impacts avoided when dairy cows are shifted from conventional to organic management.
• The USDA Organic Seal: What is it Worth to the Consumer?, ARE update, University of California, 2007 - The appearance of the USDA organic seal on milk containers has an important effect on consumer milk purchasing choices. On average, consumers are willing to pay an extra 63 cents per gallon for organic milk with the organic seal.
• U.S. Organic Industry Overview, Organic Trade Association (OTA), 2011.
• U.S. Organic Industry Overview, OTA, 2010.

Processing/Manufacturing

• Technology Adoption and Technical Efficiency: Organic and Conventional Dairy Farms in the United States, New Mexico State University, 2011.
• Value-Added Dairy Processing Feasibility Report, "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.
• When Your Processor Requires More than Organic Certification: Additional Requirements in Organic Milk Contracts, Farmers' Legal Action Group, Inc. (FLAG), 2008 - This guide reviews contracts for the sale of organic milk that were used in 2007. All of these contracts included farm practice requirements that went beyond those required for organic certification.

Production

• Characteristics, Costs, and Issues for Organic Dairy Farming, ERS, USDA, 2009 - Using 2005 data for U.S. dairy operations, including a targeted sample of organic milk producers, this study examines the structure, costs and challenges of organic milk production.
• 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.
• Dairy, ERS, USDA.
• Dairy Resource List: Organic and Pasture-Based, Appropriate Technology Transfer for Rural Areas (ATTRA), NCAT, 2006 - This resource list offers many sources of information helpful to organic and pasture-based dairy farmers.
• Dairy Your Way, North Central SARE, 2006 - This publication was created to provide information that will help producers explore the many choices available for today’s dairy farms.
• Health-Care Principles and Practices for Organic Dairy Farms, University of Maine, 2008.
• Organic Agriculture in Wisconsin: 2012 Status Report, University of Wisconsin and Wisconsin Department of Ag, 2012 - Wisconsin boasts the second largest number of organic farms in the nation and ranks first among the states for the number of organic dairy and beef farms.
• Organic Agriculture in Wisconsin: 2009 Status Report, Center for Integrated Agricultural Systems, University of Wisconsin-Madison and the Wisconsin Department of Agriculture, Trade and Consumer Protection, 2010 - Wisconsin is the top-ranked state for number of organic dairy farms. In 2007, Wisconsin’s organic dairy sales reached $57.6 million.
• Organic Agriculture in Wisconsin--2007 Status Report, Center for Integrated Agricultural Systems, University of Wisconsin-Madison, 2008.
• Organic Dairy for the Next Generation, Heather Darby, University of Vermont, 2011 - This YouTube presentation was recorded at the 2011 USDA Organic Farming Systems Conference.
• Organic Dairy Handbook, Northeast Oganic Farming Association (NOFA)-New York, 2009 - This book outlines the practical knowledge and systematic understanding necessary for conventional farmers to make a successful transition to organic production, for new farmers to develop a successful organic dairy business and for newly transitioned organic dairy farmers to strengthen their overall farm management.
• Organic Dairy Production, eXtension.
• Organic Livestock Feed Suppliers, ATTRA, NCAT - 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.
• 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.

Businesses/Case Studies

•  Farmer's All Natural Creamery, Wellman, Iowa - This creamery began with the idea of taking hard-to-market milk from local farmers with special circumstances, processing it and meeting the needs of a growing consumer demand for natural and organic products.
• Francis and Susan Thicke, Radiance Dairy, Fairfield, Iowa - This Iowa family direct markets the organic products from their dairy farm, capturing more of the profit.
• Hidden Valley Organic Dairy Farms: A Case Study on Organic Dairying, University of Idaho, 2008.
• Mid-scale Food Value Chains Case Study: Organic Valley, Center for Integrated Ag Systems, University of Wisconsin, 2009 - Organic Valley is the largest organic, farmer-owned cooperative in North America. With 1,300 members in 30 states and the Canadian province of Ontario and more than $500 million in gross sales, Organic Valley member farms represent about 10 percent of the certified organic farms in the United States. 
• Naturally Iowa LLC, Clarinda, Iowa - The products from this organic, all-natural dairy include fluid milk, drinkable yogurt, ice cream and the use of bottles made of corn, known as PLA (Ingeo) bottles.
• 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.
• Organic Dairy Producer Profile: Bruce and Mari Drinkman, Desperation Acres, Wisconsin, eXtension.
• 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.
• Scholten Family Farm, Weybridge, Vermont, Northeast Organic Dairy Producers Alliance, 2009 - Roger and Patty Scholten started organic production in 2007 and are already producing delicious artisanal cheeses. 
• Straus Family Creamery, Marshall, California - This small, family-owned dairy farm is located in Marin County. The creamery offers milk, yogurt, ice cream and butter that is certified kosher. Refundable glass milk bottles are used.

Links checked January 2013.