Opportunities in the Organic Marketplace

Over the last several decades, there has been exponential growth in the demand for organic agricultural products - those that are grown without the use of synthetic pesticides, herbicides, or fertilizers. Global sales of organic foods rose more than 20% during the 1990s and were estimated at more than US $13 billion in 1998, according to the International Trade Center. This upward trend is expected to continue, with some industry analysts predicting a 40% growth in certain European markets and a continued 20% growth in US markets. Around the world, growers have adopted organic cultivation systems in an effort to be better stewards of their land and to take advantage of the price premiums offered for organic products. Consumers have supported the organics market, motivated by a commitment to their health, the environment, and small-scale family farmers.

The introduction of synthetic chemicals into agriculture is a relatively recent phenomenon. Until the first half of the twentieth century, all farming was by definition "organic." The application of new technologies such as pesticides and synthetic fertilizers has undoubtedly increased agricultural productivity and revolutionized human economic systems; however, this change has not been completely benign. In 1990, the World Health Organization estimated that there were 25 million cases of acute occupational pesticide poisoning around the world. Pesticides are a major source of pollution, posing a risk to wildlife and clean water supplies. And, there is now strong evidence linking the increased use of crop protection chemicals with rising rates of cancer over the last 50 years.

Standardization, Regulation, and Certification

During the 1970s, associations of organic producers began making efforts to standardize the definition of organic production and to certify that their farmers were using organic cultivation techniques. Gradually, individual American states began developing regulations for the organic industry, and by 1990, the US Federal government undertook efforts to create a uniform and legally enforceable standard. As of August 2, 2000, the final rule formalizing these efforts has not been established. Nations with a large base of organic food consumers, including Japan, Canada, and members of the European Union, have also been writing regulations to define "organic" and developing mechanisms to certify that food sold as organic meets the defined standards. Many of the government standards are "works in progress" and are still being formalized.

In the meantime, certification standards developed by the private sector are used throughout the organic industry. All wholesalers, food processors, and retailers of organic food products require that the materials they buy be certified by an independent organic certification agency. Unfortunately, there is no one agency that is recognized by all firms; each company has its own list of preferred agencies. A producer who wishes to sell organic produce to a firm should find out which certifier the company prefers. A directory of credible agencies is available from the International Federation of Organic Agriculture Movements (IFOAM).
By Justin Laboe, Herb Research Foundation

The Herb Research Foundation is pleased to present the fourth issue of A-SNAPP Update, a weekly online newsletter for African growers and producers, A-SNAPP partners, international buyers, and others interested in the A-SNAPP project. We need your input to make A-SNAPP Update a success! In particular, we are seeking stories on individual African farms and businesses, traditional African medicine, protection of endangered African plants, and other issues important to you and your business. If you would like to be profiled as a featured business in A-SNAPP Update or have an idea for a story, please contact Krista Morien at kmorien@herbs.org.