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CCOF Press Releases
Press Release
January 15, 2010
For Immediate Release |
Contact:
Jane Baker
CCOF Marketing Director
(831) 423-2263, ext. 27
jane@ccof.org |
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Organic Certification Agency Reports Growth in 2009 Despite the Economic Downturn
(January 15, 2010) Santa Cruz, CA – Despite the economic downturn, CCOF reported an 8% growth in the number of certified operations and total certified organic acreage in 2009. The number of CCOF certified operations increased from 2,007 in 2008 to 2,168 in 2009, while the certified acreage grew from 558,137 to 603,545.
Fruit crops saw a substantial growth, especially in raisin grape and citrus acreage. In 2009, CCOF added 1,545 new certified organic raisin grape acres, an increase of 45.4%. Raisin acreage has risen 168% over the last four years. CCOF certified organic citrus acreage grew 39.2% (888 acres). In addition to these two key growth areas, organic berries once again showed strong growth with certified acreage increasing 20%. Certified organic acreage for berries has increased 203% in the last four years, from just over 1,500 acres in 2005 to 4,500 today - an impressive growth rate, when taking into consideration the high farm-gate value of this crop.
Interestingly, the acreage for certified organic nuts took a turn upwards in 2009 from a growth rate of only 1.4% in 2008 to 18.8% in 2009. Pistachio orchards led the way with 42% growth from a plateau the previous year, while almonds grew by almost 1,000 acres (26%) to a total of 4,627 acres.
The vegetables category showed a mixed bag of results; some organic vegetable crop acreage grew while others declined. With less than 100 acres in 2005, organic garlic has experienced an impressive 533% growth, with a total of 614 acres to date. Declines in vegetable acreage were seen in lettuce, carrots and processing tomatoes, suggesting a constriction in some high production crop areas as a result of the economy.
CCOF attributes the overall continued growth during the recession to a number of factors. Firstly, producers remain committed to organic farming practices, seeing it as the best means to protect their land and the fertility of their soil, on which their livelihood depends. Secondly, for the consumer, purchasing organic produce and goods is a lifestyle decision based on a commitment to buying healthy, nutritious food for themselves and their families as well as a concern for protecting the environment. Consumer commitment has remained strong in the face of the economic downturn and consumers are demanding a wider variety of organic products.
CCOF certification of handler or food processor operations grew at 9%, a 50% higher growth rate than the grower segment. This reflects a trend in the availability of organic products, which are no longer found in the periphery aisles of the supermarkets or fresh produce sections only, but also increasingly on the shelves of the beverage, baked goods and frozen foods aisles. The organic beverages category is one of the largest; encompassing organic coffee, tea, dairy and wine. Chocolate and confections are two other key areas of growth. CCOF anticipates that the processed goods certification category will continue to expand, especially as large scale retailers begin to enter the market and with the introduction of private-label organic brands.
“It’s a combination of factors that keeps the growth of the organic sector healthy”, states Jane Baker, CCOF Director of Sales and Marketing. “There is continued strong demand throughout the food supply from the consumer to the retailer, right back to processors and growers, and this keeps demand for our certification services strong.”
“We’re glad to see operations continuing to favor CCOF as their organic certification agency,” adds Jake Lewin, CCOF Chief Certification Officer. “We’ve worked hard in recent years to implement service improvements including streamlining documentation, using technology and online tools, providing support for those wanting to export and being active in policy development. This has helped us retain clients and attract new customers.”
The organization does acknowledge, however, that the growth curve is flattening out. In both 2007 and 2008 CCOF experienced higher growth rates than in 2009. In 2008, the agency experienced a growth rate of 11% in the number of operations and 14% in total certified acreage and in 2007 the growth rates were even higher with an 18.7% increase in certified operations and a phenomenal 40.7% in acreage.
“We know it is tough out there,” states Lewin; “Last year we saw substantially more operations withdraw from certification compared to previous years. Federal cost-share funding, which reimburses organic operations up to 75% of their certification costs up to a maximum of $750, provided much welcome financial assistance, particularly for the small and medium-sized grower. The funding has certainly helped them to maintain their organic certification. Overall, we’re hopeful that some of those who have withdrawn will return when the economy picks up.”
While it is clear that the organic sector has felt the effects of the downturn in the economy in 2009, the reported growth rates would be envied by many other sectors of the economy, including the conventionally-grown food market. They are an indication that more and more people; producers, processors and consumers alike, are coming to understand the wider benefits of organic practices - nutritious food, healthy people and environmental sustainability. “We are optimistic and realistic about future growth” concludes Peggy Miars, CCOF Executive Director. “Steady, single-digit growth rates are inevitably more sustainable and that’s the very philosophy that underpins the organic sector.”
About CCOF
CCOF (California Certified Organic Farmers), a nonprofit organization, was founded in 1973 and is one of the nation’s oldest and largest third-party organic certifying agencies. CCOF certifies, educates, advocates and promotes organic through:
• A premier organic certification program for growers, processors, handlers, and retailers.
• Programs to increase awareness of and demand for certified organic product and to expand public support for organic agriculture.
• Advocacy for governmental policies that protect and encourage organic agriculture.
CCOF certifies more than 2,160 organic operations in 34 states and four countries and serves over 350 supporting members - consumers, suppliers, businesses and individuals - interested in supporting its work.
More information: About CCOF, CCOF History, CCOF Fact Sheets and Statistics .
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