Americans bought $43 billion of organic food in 2016, the latest in a string of record sales years and the first time that sales topped $40 billion, says the Organic Trade Association in a report released at its annual policy conference. Sales were up by $3.3 billion from the previous year, an 8 percent increase.
“The organic industry continues to be a real bright spot in the food and ag economy, both at the farm gate and check-out counter,” said Laura Batcha, OTA chef executive. Organic food sales are soaring compared to the 0.6 percent growth rate for food sales overall. Batcha said, “Organic farmers are not just staying in business, they’re often expanding” and creating jobs.
Organic food now accounts for 5.3 percent of total food sales, the OTA said.
Fruits and vegetables account for 40 percent of organic food sales, or $15.6 billion last year. The OTA said produce “has traditionally been the entry category for consumers new to organic.”
Sales of non-food products, at $3.9 billion, were up by 9 percent in 2016. The bulk of sales were organic fibers, supplements and personal care products. Cotton growers picked a record 17,000 bales of organic cotton last year, “which should help relieve some supply concerns” for organic textiles, said OTA.
The OTA has proposed a check-off program to pay for research and promotion of organic products. The USDA is reviewing comments on the proposal as part of deciding whether to put the idea to a vote among organic producers.