ORGANIC dairy farmers have been urged to hold their nerve amid predictions of near parity in organic and conventional milk prices.

Hi Peak Feeds, of Derbyshire, said promised increases in conventional milk will bring it within two pence a litre of organic.

However, it expects that the organic price will rise again to create a more realistic differential of seven to ten pence in coming months.

Ian Proctor, managing director, said the situation was unprecedented, due to milk shortages and exceptionally high conventional wheat prices.

Mr Proctor said the requirement for ruminant farmers to feed 100 per cent organic rations at the end of the year would heighten organic cereal-demand and give greater product integrity, firming up retail prices and those received by the producer.

He said: "The presence of non-organic food in the organic food chain has long been a contentious consumer-issue, and its eradication should be welcomed because it places the sector on a stronger footing to market its produce."

He recommended ruminant farmers switch to 100 per cent organic rations next month to avoid diet changes at Christmas, a time when formulation-consistency is particularly important.