More Companies Going Organic PlusMore Companies Going Organic Plus
June 2, 2009
LONDON—Global organic food sales have been increasing by more than $5 billion a year, exceeding $50 billion in 2008. However, single digit-growth could occur for the first time this year because the global economic slowdown is impacting organic product sales, according to Organic Monitor.
The reduction in consumer spending power and declining investment levels are affecting organic food sales. Organic Monitor also finds increasing consumer sophistication is affecting organic sales. Consumers are demanding more from organic food products; they are increasingly looking at ethical sourcing, traceability, the carbon footprint, sustainability and corporate social responsibility. Thus, the organic production method only partially meets rising consumer expectations.
Recognizing the change in consumer behavior, some organic food companies are adopting ‘Organic Plus’ strategies. Such companies are going beyond organic and adopting highly ethical, ecological and sustainable business practices. Increasingly, these companies are marketing their organic products on these values. Some have gone further and invested in war-torn areas like Sri Lanka and Palestine, while others are strengthening their environmental credentials by offsetting carbon emissions.
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