Dairy farmers belonging to the Organic Milk Suppliers Co-op are to benefit from a £750,000 windfall.

The bonus payment to 400 members followed “solid commercial progress” in the second-half of the 2009/10 year, which saw underlying sales growth of around 10% despite the recession, OMSCo executive chairman, Nicholas Saphir said.

The bonus is worth about £1900 per farm.

“This is a welcome boost to organic farm incomes, in what has been a difficult year for producers,” Mr Saphir said. “However, with continued demand growth and supplies tightening, we are quietly confident that trading conditions will continue to improve.”