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Latest News: Global Organic Dairy Market Report 2019

Export innovation vital to secure global trading platform

With a £20bn trade deficit, the opportunity and scope for the UK to improve its global sales of food and drink has never been greater. Yet a reliance on commodity trading will not be enough to turn around these fortunes and therefore organisations need to turn their focus to added value exports. “The UK needs to prioritise agricultural and food exports,” explains OMSCo’s chairman Nicholas Saphir. “Our counterparts on the continent have remarkable export trade figures and we need to look at their successes and replicate them if we’re to defend farm gate returns post Brexit,” says Nicholas.

Export innovation vital to secure global trading platform

With a £20bn trade deficit, the opportunity and scope for the UK to improve its global sales of food and drink has never been greater. Yet a reliance on commodity trading will not be enough to turn around these fortunes and therefore organisations need to turn their focus to added value exports.

“The UK needs to prioritise agricultural and food exports,” explains OMSCo’s chairman Nicholas Saphir. “Our counterparts on the continent have remarkable export trade figures and we need to look at their successes and replicate them if we’re to defend farm gate returns post Brexit,” says Nicholas.

This is just one of the reasons OMSCo has taken the lead to sponsor the ‘export in innovation’ Cream Award for the third year running.

“We’re committed to championing UK exports, encouraging innovation and entrepreneurship across the industry,” says Nicholas.

He adds that UK food and drink exports sit near £10 billion when whiskey is excluded, which is miles apart from the likes of Holland, which attributes 94 billion euros to food and drink exports.

“To add concern, we know that Brexit will bring about changes in farm support payments post 2024 and many of our farm returns are already below that of our major competitors. We need to widen our markets and the demand for our outputs to be in with a chance of remaining competitive.

“It’s this horizon that’s driving our rationale for the UK to showcase export innovation and is motivating OMSCo to do all we can to encourage a step-change in the approach to agricultural exports,” says Nicholas.

“It’s imperative that organisations don’t just seek to export but also add value through innovation and entrepreneurship.

“Through the development of our antibiotic and GM free organic cheddar cheese, produced specifically for the USA, UHT milk for China and infant formula for Australasia, we know that it’s possible to take a commodity and create added value markets,” says Nicholas.

“Organic, GM free produce has tremendous opportunity throughout the world, especially as the global spotlight on the nutritional value of food continues to intensify.”

But the opportunities are not limited to the organic market adds Nicholas. “We’ve also seen examples of considerable innovation in other food exports, as well as people developing new markets.”

Nicholas says that one of the keys to the cooperative’s successful venture into exports has been the development of long-term supply chain partnerships, such as the relationships built with Organic Valley, the US’s largest organic cooperative, and the recent joint venture announced with Wyke Farms.

“The enthusiasm and support for export innovation is out there. AHDB, Defra and the Department of International Trade are all showing enormous support and I would encourage organisations across the industry to capitalise on the moment and make their move into exports to spread risk and ensure UK farming remains competitive on a global scale” says Nicholas



Co-operatives UK annual economy report

The Organic Milk Suppliers Cooperative (OMSCo) was established in 1994 by five innovative farmers, who believed that there was simply a better way to farm. Now nearly 25 years old, OMSCo is the only national, 100% dedicated organic farmer-run and farmer-owned cooperative in the UK, with 270 members from Cornwall to Inverness. OMSCo is the largest organic dairy cooperative in the UK, managing two-thirds of the organic milk supply. OMSCo is also the second largest dedicated organic milk pool in the world, with an annual turnover approaching £100m.

Co-operatives UK annual economy report

OMSCo case study

The Organic Milk Suppliers Cooperative (OMSCo) was established in 1994 by five innovative farmers, who believed that there was simply a better way to farm.

Now nearly 25 years old, OMSCo is the only national, 100% dedicated organic farmer-run and farmer-owned cooperative in the UK, with 270 members from Cornwall to Inverness.

OMSCo is the largest organic dairy cooperative in the UK, managing two-thirds of the organic milk supply. OMSCo is also the second largest dedicated organic milk pool in the world, with an annual turnover approaching £100m.

“Becoming an OMSCo member was an easy decision for us,” explains Graham Vallis, board member, and organic farmer managing 200 cows on his family farm on the outskirts of Exeter, Devon.

“We had a young family to provide for and therefore sought a milk partner that could provide ongoing support and certainty,” he says. “OMSCo’s dedication to the organic dairy sector was clear from the beginning and gave us the confidence we needed to develop our farm business.”

The Somerset-based cooperative’s innovative approach to spreading risk, has allowed them to capitalise on the growing organic dairy market, which is worth $9.5bn globally.

“OMSCo has developed a variety of added value and specialist organic dairy products for international markets, including premium organic cheeses and infant formula ingredients,” says Graham. “These opportunities are fantastic for the members, as being a part of a cooperative means that we all share the benefits.

“The more money that the cooperative makes, the greater the return to its farmers and this provides us with greater certainty for the future.

“Being a member that’s on the board, I also see first-hand the practical input that our members have into the decision-making process, which then facilitates the implementation of these new initiatives.”

Long-term relationships built with leading global manufacturing and distribution businesses has led to exports growing by 58% to approximately 20% of total revenue in 2017 - a figure which the cooperative aspires to grow in the years to come.

“OMSCo’s achievements have been underpinned by shared values that champion British organic dairying. I look forward to us continuing to work together as a cooperative finding new and innovative ways to secure our future success.”



World Cheese Award success for Organic Kingdom

The Organic Milk Suppliers Co-operative’s (OMSCo) premium-brand, USDA-certified cheese brand Organic Kingdom, received a silver award in the Supreme Champion class at the recent World Cheese Awards in Norway.

World Cheese Award success for Organic Kingdom

The Organic Milk Suppliers Co-operative’s (OMSCo) premium-brand, USDA-certified cheese brand Organic Kingdom, received a silver award in the Supreme Champion class at the recent World Cheese Awards in Norway.

The brand also received two bronze medals in the mature and extra mature cheddar classes, topping off a year of successful shows. “To be recognised at such a highly respected event, against 3,500 cheese entries, is a great achievement for Organic Kingdom,” explains OMSCo’s Head of Marketing, Nicola Turner.

“We’ve received awards for product quality and our rebranded packaging at a number of key international events this year,” she says.

Organic Kingdom, which is entering its fifth year of trading and has listings including the USA’s second largest retailer, remains the only European USDA-certified organic Cheddar available in the US.

This is made possible through a differentiated ‘premium’ milk pool, produced by OMSCo, which meets the requirements set out in the USDA US-EU Organic Equivalency Arrangement, (a prerequisite for the sale of organic dairy products in the US). Organic Kingdom also has European and Chinese organic certification.

“Organic Kingdom cheese has a complex and unique flavor profile made possible from the highquality organic milk used to make it, combined with expert Cheddar craftmanship. Our cheese is made in the home of Cheddar in the UK, from cows that are free to roam, and grass-fed on our small organic family farms,” explains Nicola.

Marketed through the British Organic Dairy Company (BODC), a partnership with Wyke Farms Ltd, one of the largest independent cheese makers in the UK, who produce over 15,000 tonnes of cheddar per year to the same award winning 157-year-old recipe, Organic Kingdom forms part of the wider BODC portfolio, that has become a leading global supplier of organic cheese and the largest supplier of organic whey.

“To compete against the best cheeses in the world and come away with a silver medal is a fantastic result for our brand,” adds Nicola.

“We’re committed to growing the organic cheese category globally, and developing quality products for our consumers, who we’re sure will enjoy the cheese as much as the judges.”

In 2017 OMSCo announced a second global strategic supply alliance with Europe’s third largest dedicated milk pool, Eko Holland.

A new partnership with Somerset based cheddar maker Wyke Farms was also announced in 2017, operating under a joint business identity, The British Organic Dairy Company, the collaboration combines organic dairy excellence from OMSCo, with award winning standards from the most sustainable cheese maker in the world.

Read more about OMSCo here: http://www.omsco.co.uk/ and follow us on Twitter for our latest updates:
https://twitter.com/omsco

Wyke Farms Ltd

Wyke Farms is a family run company based in the heart of the Somerset cheddar-making region. The art of traditional cheese making will never be lost on the Somerset farm where the Clothier family have been making cheddar in Somerset since 1861. Today, Wyke Farms is one of the largest independent cheese makers and milk processors in the UK producing over 15,000 tonnes of cheddar per year to the same award winning 157-year-old recipe. The Wyke Farms brand is the only independent company in the top 10 cheese brands with retail sales of over £25 million.

Wyke remains a truly traditional family business. Ivy’s grandsons Richard and Tom now run the cheese making operations with their father John, whilst her other two Grandsons David and Roger run the family
dairy farming operations. The four grandchildren share Ivy’s passion for cheese making where flavor, texture and taste are paramount. They believe that this attention to detail is the reason that their cheese has won more awards at national cheese shows than any other.

Wyke Farms are committed to sustainable farming and are proud to be the UK’s first national cheddar brand to become 100% self-sufficient in green energy. Wyke Farms sources all of its electricity and gas from both solar and biogas, generated from the farm and dairy waste. The biogas energy is generated from its own anaerobic digester (AD) plant, which saves Wyke Farms over 20 million kilos of carbon dioxide per annum. They have received national and international recognition for their on-going commitment to sustainability.

www.wykefarms.com
http://www.facebook.com/wykefarms



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