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Organic Food Sales Expected to See Slower Growth

Fresh Organic Onions.jpg
Fresh Organic Onions (photo by missyredboots, courtesy of morguefile.com)

Consumers have been to turning to organic food and beverages as a healthier alternative for their families for many years now. According to some sources the annual rate of growth over past years has been an astonishing 24% or more.

Organics are expected to continue to grow in popularity, but at a slower rate. A report in USA Today says, “Sales of organic foods and beverages are expected to reach $24 billion this year, and average about 18% annual growth through 2010, says the Organic Trade Association.”

The slower growth is being attributed to a weak economy coupled with the higher cost of organics. Difficulty in finding new customers beyond the core buyers of organic food and beverages has also been given as a reason for slower growth, and there’s been increasing interest in buying locally grown foods even if they are not organic.

There seems little doubt that organics are here to stay as a major part of the specialty food market. The USA Today article points out that, “Almost 70% of U.S. shoppers bought something organic over a recent three-month period, says Laurie Demeritt, president of market researcher The Hartman Group.”

If you’d like to read the USA Today article cited above go to: Organic food sales feel the bite from sluggish economy

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