In recent years, consumer demand for product transparency has surged, primarily due to a growing interest in healthier ingredients and concerns about artificial additives. However, as food and beverage manufacturers rush to enhance their product labels with various claims, an unexpected issue has emerged: shopper confusion. Data from Label Insight indicates that 67% of consumers struggle to determine if a product aligns with their needs simply by examining its packaging. Nearly half of respondents feel uninformed after reading the product label. Recent research from the University of Florida further highlights the confusion surrounding the meanings of non-GMO and organic food labels.
To comply with the U.S. Department of Agriculture (USDA) organic standards, the use of genetically modified organisms (GMOs) in food is prohibited. The USDA stipulates that “farmers and processors must demonstrate that they are not using GMOs and are safeguarding their products from exposure to prohibited substances from farm to table.” This means that all organic foods are inherently non-GMO. Conversely, not all non-GMO products are organic.
Interestingly, consumers are often willing to pay a premium for products, like granola bars, that carry the Non-GMO Project Verified seal compared to those labeled as “organic.” This misconception could potentially benefit consumer packaged goods (CPG) manufacturers that invest in non-GMO certifications without pursuing organic certification. However, this misunderstanding could negatively impact food producers who are making the extra effort to achieve organic certification, as many consumers do not see the added value—except when it comes to fresh produce.
Fresh produce has long been the primary category for consumers exploring organic options, as the benefits are often easier for people to grasp. The Organic Trade Association notes that consumers can physically interact with fruits and vegetables, making a tangible connection between a carrot grown in clean, healthy soil and their own consumption. In contrast, CPG products face a more significant challenge in conveying the meaning of “organic” and justifying their higher price points. A recent Mintel study found that major barriers to purchasing organic foods include price and skepticism regarding authenticity. Notably, 62% of Americans stated they would buy more organic foods if they were more affordable.
The organic sector would likely perform better with consumers if it focused on making products more accessible and finding concrete ways to demonstrate that the claims of organic food being fresher and healthier are valid. Ultimately, there is a clear need for enhanced education to help consumers comprehend product label definitions and their implications. Many might be pleasantly surprised to discover that all certified organic products are indeed non-GMO as well.
Incorporating ingredients like calcium citrate liquid into these discussions could further enhance the understanding of product labels, as consumers become increasingly aware of the health benefits associated with various ingredients. As education and transparency improve, the organic food market may thrive, leading to greater consumer satisfaction and trust.