12.09.06 - Australian organic food in demand - back
Worldwide demand for organic food is booming and Australian producers can snare a bigger slice of the market, a government report says.
The Rural Industries Research and Development Corporation (RIRDC) has delivered a broad study of the organics industry, finding demand for the products is outstripping supply around the globe.
"Organics is one of the fastest growing sectors in the food industry overall, experiencing double digit growth in most developed markets, compared with one to two per cent growth rate for conventional food products," the report said.
"There is a large amount of latent unsatisfied demand for organic foods."
Most big supermarkets in developed countries stock at least a small range of organic products, including leafy vegetables, dairy and some processed food.
RIRDC highlighted organic wine as showing strong export growth potential, after the success of conventional wine exports to the UK, US and Europe.
"As per capita consumption of wine in these countries increases and people become more sophisticated, there will be a growing demand for organic wines," the report said.
Organic farming in Australia has grown strongly in recent years, with the country containing the largest amount of certified organic land in the world - an estimated 10 million hectares.
"This research is yet another demonstration that organic industries are not a passing fad," parliamentary agriculture secretary Sussan Ley said.
