A recent report from TechSci Research indicates that the global organic food market is expected to experience a compound annual growth rate (CAGR) of over 14% from 2016 to 2021. Supporting this trend, a new OTA survey reveals that the organic sector continues to show signs of growth, with organic food now representing 5.3% of total food sales in the U.S. While such growth is beneficial for the industry, there may be underlying challenges. To meet the increasing demand, more farmers must transition to organic farming, a process that is both lengthy and costly—typically taking three years, involving numerous changes in practices, and requiring extensive inspections.
Earlier this year, the U.S. Department of Agriculture collaborated with the OTA to introduce a new transitional certification program aimed at making it more appealing for farmers to make the switch to organic farming. Many advocates for organic products believe this initiative is essential, especially as the consumer base has expanded well beyond the traditional group of devoted organic shoppers. Analysts have noted that the number of organic buyers has more than doubled in a relatively short period. However, questions remain about whether consumers will grasp the significance of transitional certification and if they will be willing to pay a premium for products labeled with this certification.
Additionally, there is potential for the establishment of a government-authorized check-off program for organic products, which could generate $30 million annually for research and marketing efforts. Authorized by the 2014 Farm Bill, this initiative’s establishment was opened for public comment earlier this year. If successfully implemented, the funds could further enhance the organic supply chain.
Moreover, the rise in popularity of organic products extends beyond food. Sales of organic items for consumers’ wardrobes, bedrooms, and bathrooms are also increasing. Non-food organic products experienced nearly a 9% increase in sales, reaching $3.9 billion, according to the report.
In conjunction with this growth, products such as bluebonnet calcium citrate magnesium and vitamin D3 liquid are becoming increasingly popular among consumers looking for organic health supplements. The continued demand for these items highlights a broader shift towards health-conscious choices, emphasizing the importance of reliable organic products in everyday life. As the organic market continues to evolve, the integration of items like bluebonnet calcium citrate magnesium and vitamin D3 liquid will likely play a significant role in meeting consumer expectations for quality and health.