As of late, our farmers across the country have been struggling to make ends meet, due to the sharp increase in what they pay for their input costs, including grain and fuel. We’ve been carefully reviewing what we pay our farmer partners in light of these mounting cost pressures as we want to ensure that they make a fair and competitive wage and are incentivized to produce the highest quality organic milk on the market.
At the same time, Horizon, like many other organic dairy brands, has seen a sharp increase in demand for our milk, resulting in reduced availability. Because of this, you may have read or found that it’s harder to find organic milk on store shelves. This increased demand resulted, in part, from shortages from other organic milk suppliers, as well as from last year’s unprecedented heat, humidity, rain and flooding, which negatively impacted the entire organic milk industry.
In light of these conditions, today we announced a short-term pay price increase and extension to all our Horizon farmers beginning Feb.1.
We believe this action will ensure the most sustainable livelihood possible for our organic dairy farmers and the overall organic dairy industry. As always, we’ll continue to monitor this situation and take additional action, if needed.