There has been a very high demand for organic foods as consumers have become more concerned for their health against the usage of pesticides, chemicals or any genetic engineering techniques known as genetically modified organisms.
Sales of organic farm products are booming.
The selection of organic products sold by US farms in 2014 was diverse, from dairy and proteins, to fruits, vegetables and grains, NASS said in a news release.
“(Iowa) is definitely playing a role in this sector of agriculture”, said Ginger Harris, a statistician with the USDA’s National Agricultural Statistics Service.
“Producers reported in the 2014 Organic Survey that they expect to expand USA organic production in the coming years, making the data even more important for policy and programs”. During the period, the value of organic commodities produced in Iowa increased 43 percent, from $72 million in 2008 to $103 million past year . The that the number of larger farms that are certified as organic rose 15 percent from 2008 to 12,634, said by USDA.
Nationwide, USDA said there were 14,093 organic farms that sold a total of $5.5 billion in products in 2014.
Based on monthly USDA fluid milk sales reports, organic milk sales represent about 5% of total fluid milk product sales.
Farmers markets are important outlets for the sale of organic agricultural products. The decline came among farms that are exempt from government certification because they earn less than $5,000 annually from organic sales.
Sales are geographically concentrated, with 10 states accounting for 78 percent of business in 2014, according to the USDA. That’s up from just nine farms with average losses of about $7,600 from 2006-2010.
Last year, General Mills Inc, the maker of Cheerios cereal, said it would acquire organic food producer Annie’s Inc for about $820 million. “The 2014 Organic Survey data will serve as a valuable resource as the agriculture industry continues to look for ways to meet agricultural challenges and consumer needs in the 21st century”. Producers were also contacted by phone or in person from February through April.