When Arla Foods’ contracts with 532 organic milk producers in Denmark were terminated last year, the producers were offered new contracts in keeping with the harmonisation of the milk price for Arla’s Danish and Swedish organic producers.

Before the December 31 deadline, 461 organic producers chose to sign new contracts with Arla, while 71 (with a total milk quota of 47 million kg) decided to cease producing organic milk.

As from April 2004, 461 remaining organic farmers will expand their production to a total of 335 million.
Overall this means a reduction in Arla’s organic milk volume of around DKK 31 million kg or 10%.

”Currently our organic members supply more milk than we can sell,” said Deputy Managing Director Povl Krogsgaard. “We’re pleased to see greater conformity between supply and demand.”


Read more about our organic milk products