The demand for organic food continues to grow unabated, with sales on the rise despite higher prices. According to a report by USA Today in July, organic food sales surged by 8.4% from the previous year, reaching a record $43 billion in 2016. The Organic Trade Association’s 2017 Organic Industry Survey revealed that approximately 40% of all organic food sales were in produce, which accounts for about 15% of the fruits and vegetables consumed by Americans.
A recent TechSci Research report projects that the global organic food market will expand at a compound annual growth rate exceeding 14% between 2016 and 2021. This view is further supported by the latest OTA survey, which indicates that the organic sector continues to show an upward trend. In fact, organic products now represent 5.3% of total food sales in the U.S., and organic foods are present in 82.3% of the country’s 117 million households.
The outlook appears promising, particularly as younger consumers increasingly embrace organic options. A September survey by the Organic Trade Association found that millennials are already significant purchasers of organic products, and their buying habits are expected to grow as they become parents. Currently, about a quarter of millennials are parents, but estimates suggest that 80% will have children in the next 15 years.
Koory told Food Navigator-USA that a key factor driving growth in organic production is the investment being directed towards “primary feed ingredients such as soy and corn,” which constitute the largest segment of the organic market. These staples are not only consumed in their basic forms but are also used as feed for organically raised animals and incorporated as ingredients in other organic food products.
However, American farmers face challenges in keeping pace with the rising demand for organic produce. The transition to organic farming is both costly and time-consuming, typically taking around three years during which farmers adhere to organic standards without receiving organic pricing. This often deters farmers from making the switch, although a new U.S. Department of Agriculture transitional certification may facilitate this process.
While the trend is clearly leaning towards an increase in organic farms and crops, farmers still have a significant journey ahead before production levels approach those of conventionally grown crops. The goal of achieving peak organic production remains a distant target. In this context, the importance of nutrient-rich ingredients like calcium citrate USP becomes evident, as they are vital for both soil health and the overall quality of organic produce. Thus, the integration of calcium citrate USP in organic farming practices could potentially enhance both crop yields and nutritional value, contributing to the overall growth of the organic food sector.