OPN estimates that organic produce now represents 12 percent of total retail produce sales and accounts for 7 percent of overall produce volume, reinforcing its growing influence in the market.
For the third year in a row, berries were the top selling organic category with sales nearing $1.9 billion. Packages salads ($1.4 billion) and apples ($780 million) were second and third, respectively. By volume, bananas were tops with 613 million pounds sold, followed by apples (281 million pounds) and berries (268 million pounds).
Regionally, the West generated the most in sales ($2.9 billion) and volume (892 million pounds). The South was next at $3.3 billion and 1 billion pounds, followed by the Northeast ($2.3 billion, 625 million pounds) and the Midwest ($1.5 billion, 482 million pounds). All four were up in sales and volume versus last year.
Despite the rosy picture, there may be clouds on the horizon. Prices for organics are already higher than conventional — though closer than what they used to be — but the ongoing drama with tariffs may change that.
Within the report, Chris Ford, business development and marketing manager for Viva Tierra Organics, said, “Tariffs and deportations can result in driving [organic] costs up. This is not a political statement but the likely result.”
Other issues the report addresses include the influence of regenerative agriculture, erratic weather and climate change, growing the seed market and adapting to generational trends such as the growing demand for snacking options.