Teagasc is currently seeking tenders from “qualified and experienced consultants” to examine the potential for more producer organisations (POs) in the organic farming sector.

The comprehensive feasibility study will evaluate the potential role that such groups could play in enhancing and supporting the Irish organic agricultural sector.

The six-month contract has an estimated value of €50,000, excluding VAT.

The deadline for submission of tenders is 2:00p.m on Friday, April 19.

Producer Organisations or POs consist of groups of producers or farmers which are user-owned and controlled.

According to the Department of Agriculture, Food and the Marine (DAFM), a recognised producer organisation may – subject to certain conditions – negotiate on behalf of its members to better their position in the supply chain, including negotiating price with retailers collectively.

The department said that this should enable more price transparency and open up opportunities for greater collaborative working with customers to unlock value for the benefit of all those involved.

POs can legally take form as co-operatives, associations, or private companies in which agricultural producers are the main shareholders.

Producer organisations

In January, the Irish Organic Milk Suppliers Co-op (IOMS) was granted recognition as a producer organisation (PO) by the Department of Agriculture, Food and the Marine (DAFM).

The move by DAFM will result in IOMS becoming the first dairy producer organisation in the country

There are currently an estimated 70 to 80 dairy farms operating as organic.

Organic milk currently represents around 1% of the total milk pool from Ireland but some producers have repeatedly expressed concerns over the viability of the sector.

Cost inflation and static milk prices have led to growing frustration among producers.

The Irish Organic Milk Suppliers Co-op (IOMS) was formed last year when a large group of Ireland’s organic dairy farmers came together to address issues which they had identified in the sector.

The organisation claims that it represents the majority of Ireland’s organic dairy farmers. 

There are currently over 5,000 farmers who are fully organic or in conversion in Ireland.

An additional 1,050 farmers joined Organic Farming Scheme (OFS) this year meaning the land area farmed organically will now be approximately 225,000ha (5%).

Ireland’s Climate Action Plan has set a target of 10% of the country’s land area being farmed organically by 2030.