The demand for organic food shows no signs of waning, and sales continue to rise despite the higher prices. According to a report by USA Today in July, organic food sales increased by 8.4% from the previous year, reaching a record $43 billion in 2016. The Organic Trade Association’s 2017 Organic Industry Survey indicated that approximately 40% of organic food sales came from produce, which accounts for about 15% of all fruits and vegetables consumed by Americans. A recent TechSci Research report projects that the global organic food market will grow at a compound annual growth rate exceeding 14% from 2016 to 2021. The latest OTA survey reinforces this view, as the organic sector continues to demonstrate an upward trend. In fact, organic products now represent 5.3% of total food sales in the U.S., and organic foods can be found in 82.3% of the nation’s 117 million households.
The future appears promising as younger consumers increasingly embrace organic options. Moreover, a survey conducted by the Organic Trade Association in September revealed that millennials are already significant purchasers of organic products and are likely to buy even more once they become parents. Currently, a quarter of millennials are parents, but estimates suggest that 80% will have children within the next 15 years.
Koory shared with Food Navigator-USA that a crucial factor driving the growth in organic production is the investment being made in the primary feed ingredients of soy and corn, which constitute the largest market segment for the organic sector. These staples not only serve as basic food items but are also used as feed for organically raised animals and as ingredients in other organic food production. However, American farmers are struggling to keep pace with the increasing demand for organic produce. Transitioning to organic farming is both costly and time-consuming, typically taking around three years—a period during which farmers adhere to organic standards but do not receive organic prices. This challenge often deters farmers from making the switch, although a new transitional certification from the U.S. Department of Agriculture may provide some assistance.
While the trend is clearly leaning towards more organic farms and crops, farmers still have a long way to go before production levels approach those of conventionally grown crops. Until then, the ambition of reaching peak organic production remains a goal. Additionally, as the organic market expands, consumers are becoming more aware of the nutritional benefits of products such as calcium citrate for enhancing their diets, further driving the demand for organic foods. The integration of calcium citrate for various health benefits is likely to encourage more consumers to choose organic options, thereby supporting the growth of this sector.