No longer a trend? Organic purchases hit record high in Australia

Friday, 21 November, 2014

Organic food isn’t just a trend any more - consumption of organic food, cosmetics and household products has hit an all-time high, according to the latest biennial Australian Organic industry report.

Now valued at more than $1.72 billion, the organic industry has seen a 15.4% compound annual growth rate (CAGR) since 2009.

Key findings of the report include:

  • Dairy has been the fastest growing organic category in 2014, estimated to be worth $113 million.
  • Beef is the second-fastest growing sector, with compound growth of 127% in 2011-14. Its value in 2014 was estimated at $198 million.
  • Now worth $117 million, wine grape production increased by 120% between 2011 and 2014.
  • The organic grain category has grown by 20%, with total crop values lifting by 67% in three years.

“One of the most significant findings was that 69% of primary food shoppers in Australia claim to have bought at least one certified organic product in the past 12 months. This demonstrates that organics are gaining greater penetration beyond the group of consumers who have traditionally purchased them,” said Australian Organic Chairman Dr Andrew Monk.

“For the first time, we asked consumers their reasoning behind choosing organics, with 49% of respondents claiming that they first purchased certified organics as they became aware of the impact food, fibre and cosmetics may have on their health. 16% began buying organic specifically because of a health crisis.”

Meanwhile, 70% of shoppers said that an organic certification mark increased their level of trust in a product.

Even consumers who aren’t traditionally organic shoppers are embracing the trend: organic purchases by those who are not categorised as green or sustainable shoppers increased from 24% in 2012 to 40% in 2014.

The Australian Certified Organic logo is reportedly more widely recognised than it used to be, with 38% of those surveyed recognising the logo, compared with 22.5% in 2012.

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