Organic
food is a growing market in the US. Consumers are willing
to pay as much as a 50% premium to buy products that are
grown without the use of toxic and chemical pesticides and
fertilizers. Products must meet strict US Agriculture Dept.
regulations in order to carry the organic label. Organic
products are still a small segment of the market -- accounting
for just 2.5% of all retail food sales in the U.S. -- but
one thats growing rapidly. Organics rang up nearly $14 billion
in sales in 2005, a 30% increase from the previous year,
according to the Organic Trade Association. But along with
the double-digit growth rates, supply shortages of everything
from organic oats to organic milk are beginning to rise.
Experts are warning that what is now an intermittent problem
could escalate into a full-blown crisis, since more and
more supermarkets are fast expanding their organic aisles. |