The number of processors of organic dairy products in the UK has shown significant fluctuations over the past decade. From 2013 to 2018, there was a substantial decline, bottoming out at 83 enterprises in 2016, 2017, and 2018. This was followed by a dramatic increase in 2019 and a steady growth trend from 2020 onwards. The year-on-year growth rates for the last two years were 4.12% in 2022 and 3.96% in 2023. The compound annual growth rate (CAGR) for the last five years stands at 28.34%.
Moving forward, between 2024 and 2028, the number of processors is forecasted to grow at a slower, yet consistent CAGR of 2.83%, with an overall growth rate of 14.95% over this period. This indicates a stabilization and sustained growth in the sector.
Future trends to watch for:
- Continued growth in consumer demand for organic products, driven by health and environmental concerns.
- Potential regulatory changes impacting organic certification and standards.
- Advancements in organic farming technology and practices improving efficiency.
- Possible impacts of economic fluctuations and trade policies on production and distribution.
