Sales of certified organic products set a new record for the sector last year, and the cooperative added 84 member farms.
Organic Valley
Milk from the Kling organic dairy is sold to Organic Valley, which is currently paying about $7 per hundredweight more than conventional. LeeAnne Bulman/For Agri-View

Organic sales and the largest cooperative of organic farmers in the nation grew last year.

According to an annual survey done by the Organic Trade Association , U.S. sales of certified organic products approached $70 billion in 2023, a new record for the sector. Sales for the American organic marketplace hit $69.7 billion last year, up 3.4%.

“The organic marketplace recalibrated its supply chain and reconciled the cost of doing business in part with increased retail pricing,” read the overview of the survey. “The industry continued to grow, with organic food sales in 2023 totaling $63.8 billion and sales of organic non-food products totaling $5.9 billion.”

Organic Valley

Organic Valley CEO Jeff Frank and the cooperative’s executive team spoke to Agweek during the Organic Trade Association’s annual conference held May 14-16 in Washington, D.C.

Organic dairy sales grew by over 5%, according to the survey. Organic Valley, the largest cooperative of organic farmers in the nation, also grew.

Shawna Nelson, executive vice president of membership for Organic Valley, said the cooperative added 84 member farms last year with 100 more expected to be added by the end of this year.

Jeff Frank, CEO of Organic Valley, called this a “critical time” for the organic industry, along with rural America in general.

“When small family farms go out, which they are continuing to do at an alarming rate, that has a direct impact on rural America, and specifically around small town school systems, hospital systems and main streets,” Frank said. “As we think about organic, we really are standing up for that small family farm, in addition to the organic farming practices that that we think provide some great nutritious food without all the chemicals.”

Frank said that many of the talking points made by U.S. Secretary of Agriculture Tom Vilsack at the organic conference highlighted the USDA’s climate-smart investments made under the Biden-Harris administration.

Those investments have been a buoy to organic operations including on Organic Valley member farms. Frank said the cooperative is planning for a future that sees those investments continue under the same administration, or change directions under a different one.

“We definitely think about it, and we’re always thinking through what contingency plans would look like, but we do feel as though we’ve got good relationships on both sides of the aisle,” Frank said. “That being said, just coming straight off of Secretary Vilsack’s presentation, and we also spent time with Jenny Lester Moffitt (Under Secretary for Marketing and Regulatory Programs) — they do have a very good understanding of organic and what we’re trying to accomplish.”

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THE first of the major milk processors to announce a step-up, Fonterra, produced a 15 cent per kilogram milk solids increase to the minimum milk price for the 2024/25 season in Australia during the week.

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