In 2018, 65 percent of Australian households buy organic products at least yearly, up five percent from the previous year. About 55 percent of Australian organic shoppers look for certification logos, according to Australian Organic. Of households that purchase organic, nearly half report allocating more of the household food spending for organic products. Major purchase drivers include increased awareness of chemicals and the environment.
In order to improve farm incomes, Ghana and Côte d'Ivoire are proposing minimum prices for cocoa at $2600 per metric ton. Organic farmers can expect higher rates. The two countries are working together to raise living standards for farmers, and have suspended forward sales of cocoa beans for the 2020/21 season.
The United States will have a guaranteed share of the European Union’s 45,000 tonne quota for hormone-free beef. US farmers will have an initial gain of 18,500 tonnes, rising to 35,000 tonnes after seven years.
Naturland, a certification body and association headquartered in Germany, has developed standards for organic insect husbandry of seven types of beetles, flies and grasshoppers. The insects could be used as fish or livestock food. The standards, the first for insect production in the European Union, promote species appropriate stocking densities, hygienic conditions and use of temperature shock for harvesting.
Canadian Food Inspection Agency has added 324 new import codes for organic fruits and vegetables to identify organic products and reflect their admissibility requirements for Canada. Additional product codes are expected in the next year.
The organic market in Belgium is estimated at €760 million. Most organic agriculture takes place in Wallonia, which has 77% of all farms and 90% of all organic farmland in the country. Organic meat production has doubled in the last four years, led by chicken and pork production.
With a 14.4% growth rate from 2015, organic food and beverage sales in the Middle East are expected to hit $18.4 billion by 2022. Increasing population and an increased interest in halthy food and beverages are spurring the growth, with is evident in the retail, wholesale and food service sectors.
Nestle India will enter the organic food segment with three products, including an organic version of its cereal brand, Ceregrow.
Nestle SA plans to add additional natural and organic products in Brazil, consistent with its plans to cut sugar, sodium and saturate fats in its food. Four flavors of a new organic baby food are among the expanded offerings.
Romania’s government plans to reduce the value added tax (VAT) on organic and traditional food products from 9 percent to 5 percent.
From 2017 to 2018, organic produce sales increased 14 percent to reach a value of 12.9 billion kroner. Growth of 10-15 percent is anticipated in coming years, and may challenge Danish farmers to keep up with demand.
Sales of organic food are growing at twice the rate of non-organic food, yet the market share of organic food is just 2.2 percent, attributed in part to a lack of supply and lack of investment in the organic sector. National standards are expected to foster investment.
Organic chicken sales are expected to reach US $7.5 billion by 2028, with direct sales channels to exceed sales via other channels. Sales are expected to be concentrated in Europe and the emerging economies of the Asia Pacific region.
France has announced it will prohibit all glyphosate use with limited exceptions starting January 1, 2021, the same date at which the new European Union organic regulations will go into effect. Additionally, the Agriculture Minister announced that France plans to cut pesticide, insecticide and fungicide usage in half by 2025, praising organic and biodynamic farming.
The Organic Trade Association was awarded funding from two separate USDA programs for 2019. The annual Market Access Program funding was $883,593 for 2019, the largest award the association has received in its almost two decades as an official cooperator in USDA's flagship program to promote American agricultural products in global markets.
A new program introduced in the fall of 2018, the Agricultural Trade Promotion (ATP) program, began as part of the funding assistance given by the U.S. government to those affected by retaliatory tariffs. The Organic Trade Association was awarded $547,085 to carry out market promotion activities in Mexico, Canada, the Middle East, and Asia.
Learn more about OTA's international promotion programs.
In 2018, the market for organic products grew 5.3 percent according to the Soil Association’s Organic Market Report. Organic products comprise 1.5 percent of the overall food and beverage market. Home delivery, up 14.2 percent and accounting for 14 percent of organic sales, is the fastest growing marketing channel. Sales in food service are up 8 percent; sales in independent retailers were up 6.2 percent and supermarket sales were up 3.3 percent.
On April 11, in anticipation of an April 12 Brexit which has now been extended to October 31, The United States and United Kingdom have signed letters to recognize their respective organic programs as equivalent in the event that the UK should leave the European Union to become an independent market. The equivalence arrangement replicates the current arrangement between the US and EU to ensure the smooth flow of organic trade. Further details will be shared with stakeholders/certifiers once the timing of the UK exit from the EU is determined.
Over the next five years, the Middle East and North Africa (excluding sub-saharan Africa) region are expected to lead worldwide growth in health and wellness packaged food sales, according to Euromonitor’s Gulfood Industry Outlook Report 2019. The market is expected to reach US$31.5 billion by 2023.
As part of a plan to support organic production, Saudi Arabia’s Ministry of Environment, Water and Agriculture is providing about $431,000 to 165 farmers to help them convert to organic agriculture. Saudi Organic Farming Society is implementing the support program with field visits to prepare farms for certification.
Bio c’Bon, a joint venture in Japan of Aeon and Marne & Finance Europe, plans to expand from four stores in Tokyo to 50 branches by 2020. Organic sales in Japan are growing more slowly than the rest of the Asia-Pacific region, which has an average annual growth of 13 percent.