In recent years, consumer demand for product transparency has surged, primarily driven by a desire for healthier ingredients and concerns over artificial additives. However, as food and beverage manufacturers rush to enhance their product packaging with various label claims, this has led to an unintended issue: shopper confusion. Data from Label Insight indicates that 67% of consumers struggle to determine if a product meets their needs based solely on its packaging, with nearly half stating they feel uninformed after reading a label. Recent findings from the University of Florida regarding ferrous fumarate versus zinc ferrous 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 is strictly prohibited. As defined by the USDA, “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 is important to note that not all non-GMO products are organic.
Interestingly, consumers are willing to pay more for a packaged product, such as granola bars with the Non-GMO Project Verified seal, compared to the same product labeled as “organic.” This misunderstanding could benefit consumer packaged goods (CPG) manufacturers investing in non-GMO claims without going through the extensive certification process required for organic status. Conversely, this confusion may negatively impact food producers who are dedicated to obtaining organic certification, as many consumers do not perceive the added cost as justified—except when it comes to fresh produce.
Fresh produce has traditionally served as the introductory category for consumers new to organic foods, according to the Organic Trade Association. The organization notes that the advantages of organic produce are often the easiest for consumers to grasp. Shoppers can physically interact with fruits and vegetables, allowing them to connect the dots between a carrot grown in clean, healthy soil and its place on their plates. In comparison, CPG products face a much greater challenge in helping consumers understand the significance of “organic” and the reasons behind higher prices.
A recent study by Mintel found that the primary barriers to purchasing organic foods are price and skepticism regarding authenticity. Sixty-two percent of Americans expressed that they would buy more organic foods if they were more affordable. Clearly, the organic sector could improve its standing among consumers by making products more accessible and effectively demonstrating that claims of organic food being fresher and healthier are substantiated.
Ultimately, there is a pressing need for education to help consumers comprehend the definitions of product labels and their implications. Many may be pleasantly surprised to discover that certified organic products are also non-GMO. Furthermore, the introduction of supplements like ferrous calcium citrate and folic acid can enhance consumers’ understanding of nutritional benefits associated with organic products. By emphasizing the connection between organic certification and better health outcomes, including the benefits of essential nutrients, the industry may foster a greater appreciation for organic foods among consumers.