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-Annual Report 2007-08

-Introductions >>

BIO Fuels :

Dried Flowers :

Organic Foods :

Optimising health and productivity of the ecosystem

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Today, our land is getting infertile and the soil is becoming toxic. Pest resistance, pest resurgence, ineffective pesticides and falling yields are the immediate problems. The organic matter of soil is being rapidly depleted. It is clear over the years that the system of cultivation using chemical pesticides is not sustainable. If this is the scenario, what is the alternative? Probably organic farming is the only option left.

Organic farming - a viable alternative

Organic farming avoids or largely excludes the use of synthetically compound fertilizers, pesticides, growth regulators and livestock feed additives in the production of crops. To the maximum extent feasible, organic farming relies upon crop rotation, crop residues, animal manures, legumes, green manures, off-farm organic wastes etc to maintain soil productivity, to supply plant nutrients and to control insects, weeds and other pests.

In can be defines as an ecological production management system that promotes and enhances biodiversity, biological cycles and soil biological activity. It restores, maintains and enhances ecological harmony by integrating the parts of the farming system into an ecological whole.

Organic is a labeling term that denotes products produced under the authority of the “Organic Foods Production Act. The primary goal of organic agriculture is to optimize the health and productivity of interdependent communities of soil life, plants, animals and people.

Marketing organic food

The principles of marketing organic food are not too different from marketing conventional food. There may be different channels of distribution but the factors of consumer buying will largely be the same.

There are number of ways in which organic food can be marketed. Some organic farmers have pooled resources and formed cooperatives, purchased their own processing / relating facility.

Typical distribution options for organic produce are:

v      Direct sales to individual consumers or groups of consumers.
v      Direct agreement with specialised retailers.
v      Selling through cooperatives
v      Selling through certified processors
v      Selling to wholesalers

Developing the market

The market for organic foods has to be carefully integrated with the other objectives of the organic approach. In this case the consumer has to be educated on why organic food is superior to other food. The impact of the environment and the long-term future of the farm system has to be taken into consideration. The consumer does, increasingly understand the need to protect the environment and is willing to pay for it. Consumer concern over high levels of saturated fats, sugar and salt in foods, as well as risk from food additives and pesticide residues, has stimulated the demand for health foods and led to significant changes in the food  sector. Furthermore, an increasing awareness of the environmental damage associated with the use of modern agricultural techniques has become linked, in the mind of the consumer, with the user of agrochemicals. 
These concerns have contributed to the development of a market for organically produced food.
However, there have been no major promotion campaigns centering on organic food, neither has
there been rapid and innovative product developments, or any developments within the retail
trade to entice the consumer. The market for organic food appears to have developed because of
public concerns such as health, the environment and resource use.

The major organic products sold in global markets include dried fruits and nuts, processed fruits and vegetables, cocoa, spices, herbs, oil crops and derived products, sweet crops, sweeteners, dried leguminous plants, meat, dairy products, alcoholic beverages, processed food and fruit preparations. Non-food and fruit preparations. Non-food items include cotton, cupflowers and potted plants.

Organic farming an profitable thrust area

Agriculture and information technology have been identified the major investment opportunities in India in the new millennium. Vast opportunities are opening up for large-scale commercial farming projects. And, with the right thrust, India could do wonder in the food sector, considering the variety of climate and availability of soil. A venture like horticulture needs efficient management capabilities. This opens up thousands of acres of land as a viable and profitable business opportunity for conversion into orchards.

Worldwide, and in India too, there is increasing demand for healthy, organically grown food, which is tasty and nutritious. The world market for organic food is estimated at around $4250 million and is rapidly growing at an average 20-25% annually. The products properly certified command a price premium of 15 to 50% over conventional produce. The concept of organic farming is increasingly gaining ground and a scientifically maintained organic farm can give more yields as compared to an inorganic one.

Source: The Econmic Times. 22 Aug 03.

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