July 13, 2006

Australian organic producers urged to export more

Organic food producers in Australia should look at exporting their products to boost sales, a government report suggested.

Organic foods, one of the fastest growing sectors in the global food industry, is growing at double-digit rates compared to just 1-2 per cent on average for other foods, according to a report by the Rural Industries Research and Development Corporation (RIRDC).

With the US market growing by 20 percent annually, while three-quarters of the UK's 60 million consume some form of organic produce each year, there exists a vast potential market for organic foods, the report suggested.

The EU, where organic food has become a mainstream food category, also offers an 'enormous' market. Closer to home, there are untapped opportunities in the rapidly-growing markets of Hong Kong, Japan and Singapore, the report suggested.