Organic Milk in New Zealand

How Much Exists and Where It Goes

New Zealand produces an enormous amount of milk each year — roughly 21–22 billion litres annually.

Organic milk is a very small part of that.

Estimates suggest around 100–130 million litres of organic milk are produced each year.
That works out to well under 1% of total national milk production.

So while organic dairy is visible in shops, it remains a niche farming system rather than a mainstream one.

There are roughly 100 organic dairy farms nationwide, managing about 30,000 cows across just under 22,000 hectares of certified organic dairy land.

Why Production Is Lower

Organic dairy farms operate under different constraints:

• no synthetic fertilisers
• no routine antibiotics
• pasture-based feeding
• slower stocking rates

Because of this, organic cows typically produce less milk per animal than conventional systems.
The goal is not maximum output, but a different balance between soil, pasture and animal health.

Where the Milk Goes

Most New Zealand milk — organic or not — is exported.

Organic dairy follows the same pattern.

Around 70–80% of organic milk leaves the country, usually processed into:

• milk powders
• infant formula
• butter
• cheese

Export markets include the US, Europe and parts of Asia where demand for certified products is strong.

So the bottles seen locally represent only a portion of what is produced.
Much of the organic dairy sector exists primarily as a premium export product.

Main Organic Dairy Processors

Large Export Processors

• Fonterra Organic — the largest processor, supplying global ingredient markets
• Pāmu (Landcorp) — state-owned farms producing export organic powders
• Open Country Dairy — South Island organic supply

These companies mainly produce ingredients rather than retail milk.

Organic Milk Available in New Zealand Shops

Smaller producers supply the domestic market and are the most visible to consumers.

Common brands you may encounter:

Supermarkets & health stores

• Green Valley Dairies
• Jersey Girl Organics (A2 jersey milk)
• various BioGro certified house brands

Farm gate / speciality

• Three Oaks Organic (raw milk where legally available)
• local organic farm bottlings (regional availability varies)

Availability changes frequently because supply is limited and seasonal compared with conventional milk.

What Makes Organic Milk Different

Organic certification focuses on production method rather than altering the milk itself.

It regulates:

• pasture management
• fertiliser inputs
• animal treatment protocols
• chemical residue avoidance

The result is not a different type of milk nutritionally in a dramatic sense, but milk produced under a defined farming system.

A Small but Distinct Sector

Organic dairy in New Zealand is best understood as a high-value niche within a very large export industry.

It does not replace conventional dairy production.
Instead it operates alongside it, serving markets that prioritise traceability and production method.

For consumers, the main difference is not quantity or availability —
it is knowing how the milk was produced.