The Organic Dilemma - or Opportunity?

Nic Lampkin (nhl@aber.ac.uk)
Tue, 05 Mar 1996 22:04:05 +0000

The concern about the large share taken by intermediaries in the organic
market is often valid, but the size of this share is also understandable
given the very high costs of distribution and marketing associated with
small quantities of widely dispersed product.

The experience in those European countries where key organic products have
reached 10-20% market share (and where organic farming now accounts for 5-10
% or more of the national/regional agricultural sector) is that there are
tremendous gains to be made from economies of scale in marketing and
distribution, which has brought down costs to the consumer without bringing
similar reductions in price to the farmer.

There are always costs involved in establishing new markets and developing
fledgling industries. These costs shouldn't be used as a basis for knocking
attempts by those market intermediaries who wish to contribute to the
development of more sustainable food systems. These people are also human
and can have honourable motives too!

Nic Lampkin
Welsh Institute of Rural Studies
Stapledon Building, Penglais Campus
University of Wales, Aberystwyth
GB-Dyfed SY23 3DD.
Tel: +44 (0)1970 622248
Fax: +44 (0)1970 622238