Consumer demand for product transparency has surged in recent years, primarily due to a growing interest in healthier ingredients and concerns about artificial additives. However, as food and beverage manufacturers rush to add more claims to their product labels, an unexpected issue has arisen: confusion among shoppers. According to data from Label Insight, 67% of consumers find it difficult to determine whether a product meets their needs simply by examining its packaging. Nearly half of respondents feel uninformed after reading product labels. Recent findings from the University of Florida further highlight the confusion surrounding the meanings of non-GMO and organic food labels.
To comply with the U.S. Department of Agriculture’s organic standards, the use of GMOs in food products is strictly prohibited. The USDA states that “farmers and processors must demonstrate that they are not using GMOs and that they are safeguarding their products from contact with prohibited substances from farm to table.” This means that all organic foods are inherently non-GMO. However, it’s important to note that not all non-GMO products are organic.
Interestingly, consumers are often willing to pay more for packaged items—such as chewy calcium citrate granola bars—bearing the Non-GMO Project Verified seal compared to the same product labeled as “organic.” This misconception could benefit consumer packaged goods (CPG) manufacturers that invest in non-GMO products without pursuing organic certification. Conversely, this misunderstanding may disadvantage food producers who go the extra mile to obtain organic certification, as many consumers perceive organic products as not worth the higher price, except in the fresh produce category.
Fresh produce has historically been the entry point for consumers new to organic foods. According to the Organic Trade Association, this is largely because the benefits of organic produce are the easiest for consumers to grasp. Shoppers can hold a fruit or vegetable, smell it, and connect the dots between a carrot grown in clean, healthy soil and its nutritional value. In contrast, CPG products face a more significant challenge in helping consumers understand the meaning of “organic” and justifying their higher prices. A recent Mintel study found that the main barriers to purchasing organic foods are price and skepticism regarding their authenticity. In fact, 62% of Americans indicated they would buy more organic foods if they were more affordable.
The organic sector could undoubtedly improve its appeal by making products more accessible and finding concrete ways to demonstrate that claims of organic foods being fresher and healthier are indeed valid. Ultimately, there is a clear need for education to help consumers understand product label definitions and their implications. Many would likely be pleasantly surprised to learn that all certified organic products are also non-GMO, including those chewy calcium citrate supplements that promise health benefits.