July 18, 2024

Wales, UK co-operative expands organic dairy production, offers incentives to farmers

A leading organic dairy co-operative in Wales, UK, Calon Wen Organic Milk Co-operative, is taking steps to boost its output by encouraging farmers to switch to organic milk production through financial incentives, BusinessNewsWales reported.

Established in 2000 by four farmers in Carmarthenshire, Calon Wen has grown significantly to become a prominent organic brand in the UK, achieving a group turnover of approximately GBP 12.5 million (US$16.2 million). The co-operative's dairy-product arm produces a range of items including milk, butter, and cheese under the Calon Wen brand, which are distributed across independent and multiple retailers in Wales and England, UK.

Looking ahead to 2025/2026, Calon Wen plans to offer a minimum flat rate price of 50p per litre (ppl) with no seasonal deductions. To meet this goal, the co-operative aims to recruit both established organic producers and farmers considering a transition to organic dairying.

Currently, Calon Wen comprises 25 organic dairy farmer members spread throughout Wales, collectively producing around 20 million litres of milk annually. Strict criteria ensure the quality of the milk supplied, including specific butterfat and protein levels, as well as limits on bacterial and somatic cell counts.

Managing director Dai Miles, himself a dairy farmer, emphasised Calon Wen's commitment to regenerative organic practices that prioritize soil health and overall farm ecosystem sustainability. He expressed confidence in the future of organic dairy farming, citing growing consumer demand for organic dairy products.

In addition to financial benefits, Calon Wen highlights the environmental advantages of organic production and views membership expansion as an opportunity for new entrants into farming, potentially easing compliance with strict NVZ regulations.

As part of its recruitment efforts, Calon Wen is introducing initiatives such as an in-conversion loan scheme for new recruits and incentives for existing members who successfully bring in new farms.

Although primarily focused on Wales, Calon Wen welcomes members from across the English border and supplies processors and retailers in both Wales and England. Targeting areas in West and North Wales, the co-operative also encourages interest from farmers and groups in England.

-      BusinessNewsWales