Opportunities for Organic Farmers Worldwide
March 12, 19999
Consumer demand for organically produced food is on the rise
and provides new market opportunities for farmers and
businesses around the world, according to a new report from the
UN Food and Agriculture Organization (FAO). Typically, organic
exports from developing countries are sold at impressive
premiums, often at prices 20% higher than identical products
produced on conventional farms. The report states that, under
the right circumstances, the market returns from organic
agriculture can potentially contribute to local food security by
increasing family incomes, and recommends an FAO-wide,
cross-sectoral program in organic agriculture.
In several developed countries organic agriculture already
represents a significant portion of the food system: 10% in
Austria and 7.8% in Switzerland. Other countries such as the
U.S., France, Japan and Singapore are experiencing growth
rates in the organic industry that exceed 20% annually.
Some developing countries such as Egypt have small domestic
organic markets and have begun to seize the lucrative export
opportunities presented by organic agriculture, FAO said. Some
countries export tropical fruits to the European baby- food
industry, six African nations export cotton to the European
Community, Zimbabwe exports herbs to South Africa, and China
exports tea to the Netherlands and soybeans to Japan.
Entering the market in industrialized countries is not easy for
organic producers in developing countries, according to FAO. In
most cases, farmers seeking to sell products in developed
countries must hire an organic certification organization to
inspect their farms annually and confirm that they adhere to
organic standards. These services can sometimes be expensive,
and few developing countries have certification organizations
within their borders, according to the report. Many developing
countries also lack the resources and training to participate in
international standard setting regarding acceptable inputs for
organic production and ingredients.
Farmers converting to organic production will probably initially
experience losses in yields, the report warned. In particular,
"where soil fertility is low and biological processes have been
seriously disrupted, it may take years to restore the ecosystem."
However, there are other short term benefits. Instead of using
synthetic pesticides which can kill beneficial organisms, create
pest resistance, pollute water and land, and poison farmers and
their families, organic farmers rely on natural pest controls to
grow their crops.
FAO recommended that it would be most advantageous for
farmers to participate in locally-based, applied field research.
Experience with FAO-initiated Integrated Pest Management
(IPM) Farmer Field Schools and community forestry projects has
shown that farmers, whether owners or tenants, large or small,
can practice good scientific methods if they are given training
and technical support.
To maintain consumer confidence in the integrity of organic
products, FAO recommends that countries promote their own
organic certification organizations and better enforce organic
standards by "punishing those who engage in fraudulent
activities as well as undertaking systematic tracking and
measuring of fraud and its impact on the market."
The report concludes by stating: "FAO has the responsibility to
give organic agriculture a legitimate place within sustainable
agriculture programmes and assist member countries in their
efforts to respond to farmer and consumer demand in this sector.
Organic agriculture may contribute to the overall goals of
sustainability."
According to the report, the FAO organic program should focus
on providing fora for discussions on organic production and
trade; facilitating research, extension and networking; and
technical assistance for developing skills, organic standards and
certification capacities. FAO should also develop pilot projects
that explore and promote organic agricultural techniques.
The FAO report, "Organic Agriculture" is available on the web at
www.fao.org/unfao/bodies/COAG/COAG15/default.htm
Sources: UN FAO Press Release 99/3, "Organic Agriculture,"
Item 8 of the Provisional Agenda, Committee on Agriculture,
January 25-29, 1999.
Contact: UN FAO, Viale delle Terme di Caracalla, 00100 Rome,
Italy; phone (39-06) 5705 3105; email Erwin.Northoff@FAO.org.
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