Friday, November 11, 2005

Thoughts on the Growth of Organics

If you spend enough time talking to people about food, you will eventually hear the phrase “I only buy organic.” Statistically speaking, mothers in the 20-40 age group are most likely to express this sentiment. Although it is a sentiment that is unique neither to women nor mothers, it is generally limited to the economic brackets that can afford to pay the premium for the organic label.

Although organic food is more expensive than conventionally grown products, the average organic consumer is happy to pay the premium for organic food because, to them, the term organic means that the food is not only healthier and safer than conventionally grown food, but that it is produced in a manner that is better for the environment. This perception explains the tremendous growth in the organic category over the past several years when the relatively cool economy should have slowed expenditures on premium staples.

Supermarkets like Whole Foods Markets have segregated their produce offerings, labeling them as either “Conventional,” Organic,” or “Transitional.” This move clearly indicates that, to Whole Foods at least, there is only one way to farm; organic. Conventional farming is a dead end in this mindset and the best that a conventional farmer can do is transition to organic. Thus, organic is good, conventional is bad, and transitional represents the road to good.

In general, without delving too deeply into philosophy, an individual’s perception is their reality. Thus, it is easy to write off the perception of a market chain as radical, extreme, or unrealistic. However, the perceptions and realities of publicly traded corporate entities can be seen as both harbingers of things to come and barometers of public perception. Thus, it can be enlightening for farmers to pay attention to these perceptions since they will eventually have an effect on the market for all agricultural products.

Over the next few months, this column will explore consumer perceptions regarding agriculture and will endeavor to explain these perceptions in an effort to inform readers of the Capital Press of what consumers see as the future of agriculture. The goal of this column is to be frank and honest and to respectfully represent both the viewpoints consumers and the viewpoints of farmers regardless of whether or not they jibe with my views.

Nobody can deny the explosive growth of organic foods. However, it is impossible for me to imagine our entire food supply being produced organically. Thus, the role of organic agriculture in our nation is yet to be decided. Given the premium charged for organic products, it is difficult to envision the average American stomaching higher food prices. However, prior to 2005, it was difficult to imagine $3/gallon gas.

In reality, the position of all agriculture in our nation is in flux. The adjective describing the agriculture is only part of the discussion. In order for agriculture to survive in this country in any way other than in the large corporate format, consumers will have to be both engaged and educated by farmers of all stripes. This is a significant challenge but we are equal to the task.

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