MARKETS FOR ORGANIC PRODUCE
In
the EU, Germany
is a leading country in terms of organic production; followed by Italy and France. The
European Union and the United States (US) are approximately at the same level
of organic production, somewhere between 4 and 6 billion Euros per year, with Japan at third
place. In respect of worldwide organic food consumption Denmark and Austria lead
the way with 37.3 and 34 Euro per capita consumption per year. The average
consumption of organics in EU and USA is approximately 16 Euro ($15)
per capita per year. The worldwide market share for organic products is between
0.5 to 3%, but it is hard to determine, as some countries do not certify their
products.
Commodities
being exported to other countries are:
Type
|
Products
|
Commodity
|
Tea,
Coffee, Rice, Wheat
|
Spices
|
Cardamom,
Black pepper, white pepper, ginger, turmeric, vanilla, mustard, tamarind,
clove, cinnamon, nutmeg, mace chilly
|
Pulses
|
Red
Gram, Black Gram
|
Fruits
|
Mango,
Banana, Pineapple, Grape, passion fruit, Orange,
Cashew nut, walnut
|
Vegetables
|
Okra,
Brinjal, Garlic, Onion, Tomato, Potato
|
Oilseeds
|
Sesame,
castor, sunflower
|
Others
|
Cotton,
herbal extract
|
There
are number of firms in India,
which grow vegetables, fruits, plantation crops, spices and tea organically and
export to Netherlands
and Germany.
Usually farmers associated with big exporters do not have to worry about the
sale of their products and their certification, small and marginal farmers are
a harrowed lot.
For
exports, an aggressive strategy demanding free access needs to be adopted. In
Argentina farmers and Government joined hands in the early 90’s and established
the state of the art principles for organic farming which was recognized by the
European Union. Recently under a National Programme for Organic Production,
Ministry of Commerce, Govt. of India has formulated and circulated National
Standards for Organic Production.
Marketing
is the main problem for organic produce. The lack of awareness among people is
the main hurdle in selling organic products. Further the cost of the organic
products is high which only the elite and foreigners can afford. The organic
marketing in most of the countries is still relatively small and on an average
it is less than half a percent of the total agricultural sector except in Germany and Austria, where
2-3 per cent of their agriculture area is under organic production.
Several
institutions and movements are making concerted efforts to promote organic
agriculture in India
and to bring changes in the policies favoring ecological agriculture. In June,
2001, the Director General of foreign trade issued a notification declaring the
export of an agricultural product as organic would be permitted only if it was
produced, processed and packed under a valid organic certificate issued by a
certifying agency duly accredited by either APEDA, coffee board, spices board
or tea board.
Watch Video of Organic farmers Market in Mumbai