The prevalence of organic farming in the United States has reached unprecedented levels. According to USDA data, the number of organic operations grew by 12% in 2015 compared to the previous year, and has increased nearly 300% since 2002. Nevertheless, farms designated as organic still represent only 0.7% of all farming operations in the U.S. A significant challenge for farmers lies in the lengthy and costly process of transitioning from conventional to organic farming; this conversion period lasts a minimum of three years, during which farmers must adhere to organic practices without receiving organic pricing.
Various incentives exist for American farmers to transition to organic methods. The USDA’s Environmental Quality Incentives Program (EQIP) provides technical assistance and a one-time payment, which varies by region, to first-time organic farmers. Additionally, food manufacturers and retailers have implemented their own initiatives to secure organic ingredients and products. Notable companies such as Stonyfield Farms, Organic Valley, Whole Foods, and Nature’s Path Foods have offered grants and technical support to farmers to enhance supply.
Sourcing organic ingredients presents a frequent challenge for many manufacturers. This includes specialty items like organic herbs and spices that may not be cultivated in the U.S., as well as mainstream crops like wheat. To address this issue, digital platforms such as GreenTrade.net and Mercaris Auction Platform have been established, with the latter reporting the trade of 280,000 bushels of organic grain this year alone—surpassing the total traded in 2016. The Organic Trade Association also offers a variety of resources for suppliers and manufacturers, including market data, pricing information, and a directory of certified organic suppliers.
Shortages of certain organic products have led to price increases, compelling some livestock producers to import organic feeds from abroad due to insufficient domestic supply. Grocery stores and restaurants are closely collaborating with farmers and ranchers to better understand future product needs. For instance, Wal-Mart partners with farmers and suppliers to outline its organic requirements several years ahead. Elevation Burger, which offers organic, grass-fed, free-range beef, shares growth projections and store opening plans with its suppliers.
Moreover, as the demand for organic products rises, the importance of understanding nutritional content, such as the calcium citrate elemental calcium content in organic feeds, becomes crucial for livestock producers. This focus on nutrient-rich organic options not only supports healthier livestock but also aligns with the growing consumer preference for high-quality organic goods. In summary, while the growth of organic farming presents many opportunities, it also brings challenges that require close cooperation and strategic planning among all stakeholders in the supply chain.