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FEBRUARY 2004 29 Ohio’s Country Journal LIVESTOCK Organic milking improves profits for Martin BY KYLE SHARP That respect level, along with some was to work ahead and For Mark Martin, producing organic struggles marketing their own organic plan for it. milk on his Richland County farm is as milk, is why Organic Family Farms Overall, his operating much about family as it is business. Two of agreed to produce milk for Organic expenses have increased his brothers, his wife’s brother and his Valley when Organic Valley asked if about $1.40 per cwt. wife’s sister all live on family dairy farms they’d be interested in joining the of milk produced, but that produce organic milk. Three of the national cooperative in 2002. the price he receives for four farms are within five miles of Martin’s “We chose to do it because we were his milk has jumped farm, while the other is in Pennsylvania. interested in producing milk but not mar- more than $7 per cwt., Beyond organic production, the five keting it, and Organic Valley does a good and his production dairies have one other common thread. job of marketing. Our heart just wasn’t hasn’t dropped. They all ship their milk to Organic Valley, really into marketing,” Martin said. Martin currently an organic farm cooperative based in “Plus, they’re a farmer-owned coopera- milks about 42 cows. LaFarge, Wis. So far, it’s an arrangement tive that is still run by farmers. The guys Most of his herd fresh- that has made Martin very happy. on the Organic Valley board still milk ens in the spring. Martin grew up on a Holstein dairy cows and have the same ideas we have of “I enjoy milking less farm in east-central Pennsylvania. In 1993, trying to stay small and be profitable in the winter because of he moved to Ohio to start a dairy on land without expanding to large sizes.” the cold, and the cows Mark Martin, a Richland County diaryman, has been very owned by his father, Alvin Martin, and Organic Valley now has 17 producers are healthier when they pleased with his decision to switch to organic milk produc- began intensive grazing his cows. A year in Ohio and may add more in the com- have spring pasture tion. Since November 2002, he and a group of Ohio producers later, someone suggested that because he ing year. right as they freshen,” have been marketing milk through Organic Valley, an organic wasn’t using any chemicals on the farm, “Everybody who has gone with he said. farm cooperative based in LaFarge, Wis. perhaps he should consider producing Organic Valley here in Ohio has been While he used to be organic milk. very happy,” Martin said. “We were entirely seasonal, he is milking about 12 “I checked into it, but at the time there doing quite well with our grazing, but cows this winter. Organic Valley needs wasn’t anybody interested in buying soon after joining Organic Valley things more winter milk and increases their base organic milk,” Martin said. really improved. Farmers are able to price by 50 cents per cwt. during the win- In 1997, he talked with Horizon make repairs to their operations that ter to encourage winter production. They Organic, a Colorado-based organic milk should have been done a long time ago also lower their base by 50 cents from May company, about producing organic milk because it is sustainable.” through July, again to encourage more for them once his farm became certified The main reason for that sustainabil- even production throughout the year. organic in 1998. But then a local cheese ity is that organic milk brings a consis- Martin bought his farm from his plant switched to organic production, so tently higher price than milk sold con- father in 1996. He and his wife, Martin chose to ship his milk to them, ventionally. Organic Valley’s Midwest Marian, live there with their five chil- because it was a local company. base price for 2003 was $18.20 per cwt., dren: Richard, 11, Carson, 9, Rosa, 7, Unfortunately, things didn’t go well with plus premiums for quality, somatic cell Laurel, 4, and Clifford, 1. Marian helps the cheese plant, so Martin and a group of count and components, Martin said. His milk in the mornings, and the two old- 11 other organic dairy farms in Richland, November milk check was $20.96 per est boys help in the evenings. Holmes and Wayne counties decided in cwt., and October was $21.07. Eventually, Martin may diversify the Martin owns this registered Dutch Belted bull and loans him out to other farms 2000 to form their own cooperative, “Organic Valley sets the price for family operation. Organic Valley also for breeding. Organic Family Farms, and sell bottled their organic milk once per year, and markets organic eggs and beef, and organic milk. the goal is to increase it 25 cents per these could be good projects for the While forming, the group spoke often year, so the price doesn’t fluctuate like children as they get older, he said. But with representatives from Organic Valley the conventional market,” Martin said. for now, he’s happy with things just as on how best to form a farmer-owned His operating expenses have they are. organic milk cooperative. increased since going organic, but not “There are other things I could do, “Organic Valley supported our coop- greatly. Because Martin’s farm was but this is what I enjoy,” he said. erative. They were very open and already grass-based, the only real dif- Milk from Martin’s herd is stored in this answered our questions,” Martin said. ferences are buying organic feed grain, 1,500-gallon tank and picked up three “So we had a lot of respect for them using approved methods of fly control times a week. It’s taken to a transfer and liked their attitude.” and buying organic hay when needed. station in Sugarcreek then sent to the He buys organic corn for $4 to East Coast, a large market for Organic $5 per bushel and hasn’t had Valley products. any trouble finding suppliers. Fortunately, he only feeds 4 to 6 pounds of grain, mostly corn and molasses, per cow per day, which keeps expenses down. Organic hay is nearly the same price as conventional. “My greatest problem with switching to organic has been fly control, but there are always new products coming out, so it’s getting better,” Martin said. The stone house where the Martin family lives is about The transition period to 150 years old and possibly was used as a stop on the organic, three years for cropland Martin switched from Holsteins to registered Dutch Belted cows in 1996. Today, he only has Underground Railroad. The structures end walls are 3 two Holsteins left in his herd. He prefers Dutch Belted because in his grass-based system they feet thick, and the side walls are 2 feet thick, so it’s and one year for cows, also was produce similar to Holsteins, but with higher component levels. They also don’t need as much smaller inside than it appears, Martin said. challenging, Martin said. The key grain to maintain body condition, have good longevity and reproduce well. Organic Valley expands, adds Midwest dairy producers BY KYLE SHARP “Organic Valley’s goal is to plough our brought 88 new Midwest farmers into the Pam Riesgraf, an Organic Valley farmer By staying independent, going profits back into the earth and our rural co-op (a 21% increase), and added 2,040 in Jordan, Minn., who also serves as a organic and using the cooperative sys- communities. Remaining independent cows and more than 8,000 acres into the member of the co-op’s Board. tem, Midwest farmers can get 60% more ensures our farmers stay on the land, pre- organic system. In the Midwest in 2003, Organic Valley pay and buck the trend that is putting serve the environment and give consumers “Organic Valley’s success in the paid a premium of $7.37 per cwt. and real- 330 U.S. farmers out of business each safe, delicious food,” said Siemon, whose Midwest is due to the fair, sustainable ized an average regional farmer pay price week, said George Siemon, founding cooperative has been 100% farmer owned and stable price we pay our farmers. for milk ($19.68 per cwt.) that was 62% farmer, Organic Valley Family of Farms, since its founding in 1988. Unlike conventional farmers, we don’t higher than the price paid to conventional the only national organic dairy to In 2003, the Organic Valley model gener- have to deal with an abusive price struc- dairy farmers ($12.31 per cwt.). remain independent. ated record success in the Midwest. It ture that fluctuates day to day,” said Organic Valley’s base or farmer pay price, for 2004 is set at $18.45 per cwt., plus standard bonuses for components and quality, said Jim Wedeberg, Organic Valley dairy pool director. “We determine the farmer pay price and then build everything else on top of that,” Wedeberg said. “As long as we can market our milk organically and keep our utilization high, then we can deliver the farmer pay price to the farmers. That’s why as a co-op we practice real strict sup- ply management.” The advantage to producers is a stable price and the ability to budget throughout the year based on that stable pricing, Wedeberg said.

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