Organic and Conventional Dairy Farm Comparisons in Ontario, Canada

Abstract

ABSTRACT Organic dairy fanning systems were compared with conventional (defined here as the prevailing high-technology, high-intensity) dairy farming systems in the province of Ontario, Canada from both technical and economic standpoints, over a three-year period. Primary data were collected from organic farmers as part of the study, patterned on a data collection protocol for conventional dairy farmers extant since 1976. Comparability between the samples drawn from the two subpopulations with respect to farm size, climate, natural resource endowments, and emphasis on dairying ensured to the extent possible that differences in performance reflected differences in farming systems and management procedures. The study findings revealed a superior technical performance on conventional farms, as measured by milk yield per cow and milk shipments per ha of land and per person equivalent. In contrast, economic performance was found to be superior on organic farms, by virtue of the much lower costs of production for almost all material inputs, including dairy herd replacements and livestock feeds. The lower costs were rooted in an apparent bid by organic dairy fanners to be as self-sufficient as possible in plant nutrients, animal nutrients and replacement livestock. The majority of land on organic farms was devoted to feed crop production to support the dairy herd. Conventional dairy farmers tended to import large portions of their inputs across a broad range from crop seeds through synthetic chemical fertilizers and pesticides to feedstuffs and herd replacements. Much land on conventional farms was allocated to cash crop production. Consequently their costs of production and marketing were higher, more than offsetting the higher revenues generated.