Involvement of Private Limited Firms in Organic Food Industry Emerging as Major Growth Driver

Organic Food IndustryInterest in organic food is continuing to grow uninterrupted across the world. The organic food market is flourishing abundantly in most Western nations. A broader range of organic food, innovation in sales channels, and a loyal consumer base has led to sustainable development in sales.Organic food refers to foodstuff that is produced through organic farming. In this method of farming, the application of any synthetic chemicals, coloring agents, additives, genetic manipulation, and/or radiation on the crops is strictly prohibited. Additionally, organic farmers also satisfy the criteria set by the National Organic Program (NOP) of the U.S. Dept. of Agriculture.

The increase in concern for overall improvement in healthcare standards and healthy lifestyles, rise in awareness about the advantages of organic food, global development in organic farming, growth in the number of retailers offering a wider range of organic products, and government rules and regulations are the key drivers of the organic food market across the globe. The bulk of the demand for organic food is concentrated in economies where customers have a high purchasing power, such as South Korea and Japan. However, a lack of information on the availability of products, underdeveloped infrastructure and supply-demand logistics, and dealing with complicated certification in emerging economies are the factors hampering the market from growing.The demand for organic food products is likely to grow with time. Government investment and participation of private limited organizations in the global market for organic food are expected to primarily propel the development in this sector.

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