In order to assist Denmark’s current lack of organic milk, whilst reducing the surplus in Norway, TINE will export up to 15 million liters organic milk to Denmark.
Norway utilizes about 50 percent of organic milk in organic products. The remaining milk is mixed with the conventional milk and is added as regular milk in "non-organic products." This creates dissatisfaction for both the producers of organic milk and the consumers. Meanwhile Danish farmers fail to supply enough organic milk to a growing Danish market.
TERMINATION AT SHORT NOTICE POSSIBLE
The initiative of exporting milk to Denmark came from TINE. Executive Vice President for markets in TINE, Kathrine Mo, says this is a good way to solve the issue of excess organic milk. Meanwhile, she emphasizes that this is only for a trial period of 12 months. Exports can be terminated within a month, if the demand of organic milk in the Norwegian market increases dramatically.
PART OF SOCIAL RESPONSIBILITY
The exported milk will be sold at a lower price in Denmark than it would be in Norway. This is necessary for it to be more competitive in the Danish market. Isolated this will inflict TINE a loss of about 10 million a year if the entire quota of 15 million liters is exported. - We enter into this agreement as part of our social responsibility. For TINE it is important that the organic milk, to the highest extent possible, is used in organic products. Danes are slightly ahead of Norway on ecology, but we hope this exciting initiative can contribute to further awareness and growth in the Norwegian market, says Kathrine Mo.