Increased awareness of health, environmental protection, food safety, and animal welfare reforms will be the primary drivers of a 12.2% compound annual growth rate (CAGR) during 2010-2014 for the United States organic industry according to a recent study conducted by RNCOS Industry Research Solutions.
While other industries have struggled throughout the economic slowdown, the US organic industry posted 5.1% year on year growth in 2009. Existing and upcoming market trends suggest that the industry is on track to eclipse anticipated growth rates across the broader food sector in coming years.
The research identifies the industry’s fruit and vegetables segment as the most dominant segment among organic foods segments in the US. In 2009, the segment accounted for 38% of total organic food market and sustained its top slot.
Apart from fruits and vegetables, various other segments including dairy, beverages, and packaged foods have also contributed strongly to the organic food industry advancements. These segments have seen aggressive new products launch and their shelf space increase in supermarkets and mass merchandisers.
The research anticipates that, with the rapid expansion of these market segments, the US will sustain its leading position in the global organic industry and will continue to be one of the most attractive investment destinations for global organic food industry participants.
Keywords: organic industry, growth, industry report, study, research, growth, compound annual growth rate, economic research, trends, food, health, environment protection, food safety, and animal welfare reforms