World Of Organics at World Ag Expo

Tuesday was the opening day of the World Ag Expo, held each February in Tulare, CA, so it seemed appropriate to pop into a seminar on exporting to countries around the world. After all, more than 1,000 international visitors are expected at the trade show, which organizers say is the world’s largest annual agricultural exposition. Last year, said the CEO of the International Agri-Center, Jerry Sinift, the World Ag Expo hosted a record number of international visitors from 67 countries.

More specifically, the seminar centered on exporting organic agricultural products. It’s no secret that the once small niche market has been booming in recent years, and now the worldwide organic market is approaching $45 billion, said Tiffany Landry, the organic export program coordinator for the Organic Trade Association. The U.S. organic market is growing at an astounding 17% per year, said Landry, though it’s important to note that figure represents all organic foods, not just fresh fruits and vegetables. In any case, it’s clear that it’s very much a growth market, and the demand is growing even sharper in other parts of the world. In South Korea, for example, Landry said the organic market is seeing triple-digit growth.

No, I’m not suggesting the organic export market is for you, only that it’s something you might want to consider. If you’re interested, one website to check out is: http://www.usorganicproducts.com/. It’s a free directory for listing your products, and Landry emphasized that you do not need to be a member of the Organic Trade Association to participate.

So why go organic? For one thing, look for the money, suggested Dave Hirschkop, founder of Dave’s Gourmet Inc., which exports all sorts of processed organic products, notably tomato-based sauces. Hirschkop suggested that the average conventional grower nets 15%, but an organic grower can get a price premium of 20% on the export market. So a “$100,000 farmer” who grew and exported organically, he said, would only need a supplemental income to get by, as he would net $35,000 per year. A conventional “$100,000 farmer” would need a main breadwinner in the household – or another job – to supplement a net of just $15,000 a year, he said.

You may quibble with these numbers, but at the very least I find Hirschkop’s scenarios provocative. What do you think? Drop me a note at [email protected].

Now there are even more reasons to grow organic, thanks to the 2008 Farm Bill, which provides funds to farmers who are growing organic already and those growers who would like to make the transition to organic crops. Check out the March issue of American/Western Fruit Grower, which will arrive in your mailboxes and be posted online soon, for an article about the numerous benefits that exist in the Farm Bill for growers of organic fruits and vegetables.