Marketing U.S. Organic Foods: Recent Trends From Farms to Consumers
By Carolyn Dimitri, and Lydia Oberholtzer
Economic Information Bulletin No. (EIB-58) 33 pp,
September 2009
Organic foods now occupy prominent shelf space in the produce and dairy aisles of most
mainstream U.S. food retailers. The marketing boom has pushed retail sales of organic foods
up to $21.1 billion in 2008 from $3.6 billion in 1997. U.S. organic-industry growth is evident
in an expanding number of retailers selling a wider variety of foods, the development of private-label product lines by many supermarkets, and the widespread introduction of new products.
A broader range of consumers has been buying more varieties of organic food. Organic
handlers, who purchase products from farmers and often supply them to retailers, sell more
organic products to conventional retailers and club stores than ever before. Only one segment
has not kept pace—organic farms have struggled at times to produce sufficient supply to keep
up with the rapid growth in demand, leading to periodic shortages of organic products.
Keywords: Organic, organic food, marketing organic products, organic supply chain, producing organic products, handling organic products, organic price premiums, ERS, USDA
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Updated date: September 30, 2009
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