Organic dairies face feed supply problems

Food & Drink Weekly, Jan 7, 2008

Acreage of organic forage, such as hay and alfalfa, has grown 40% in the past two years, yet it isn't keeping pace with demand. In particular, says the Associated Press, high-protein crops like soybeans that are necessary feed for dairy cows are in short supply in some regions, forcing some companies to import them from as far away as China.

Given the recent problems with food and ingredient imports from China, in which a slew of products have been turned away by U.S. inspectors amid claims they are tainted, one might wonder if organic feed is actually organic.

Organic products are grown without pesticides, fertilizer, hormones or antibiotics. They make up only a small slice, about 3%, of the nation's food market, but increasing demand is pushing more farmers to make the switch in hopes of higher returns. Dairy farmers are no exception. Demand for consumer organic dairy products has grown by more than 20% each year, a trend that is expected to continue at least in the near term.

The federal government also encouraged conventional dairy farmers to convert to organic operations by easing organic certification to reduce feed costs. Under a federal rule, the farmers could feed their cows 20% conventional feed, which is less expensive, in the first nine months of operation. However, AP notes, the rule expires June 9, and dairies across the country made the switch to beat the clock.