business development

Since USDA’s Agricultural Marketing Service (AMS) implemented the organic regulations in 2002, the U.S. organic sector has tripled in size to over 22,000 certified organic operations with over $43 billion in U.S. retail sales.  Demand for organic products is expected to continue growing.  This strong consumer demand outruns supply, providing market opportunities within the organic sector.

USDA offers many resources for organic producers and businesses – including organic certification cost share assistance, organic price reporting, conservation programs, and so much more – to facilitate growth within the organic sector. We also provide assistance to producers transitioning to organic production, and work to facilitate international trade.

Consumers can find certified organic products at most grocery stores and demand for organic products continues to increase, with U.S. retail sales valued at more than $43 billion in 2015.  Organic products are grown, raised and produced by over 31,000 certified operations, and many of those operations receive higher prices, or premiums, for their products.

Recently, USDA’s Economic Research Service (ERS) issued a report entitled Changes in Retail Organic Price Premiums from 2004 to 2010.  The report highlights the retail price premium charged for organic foods compared to conventional products.  For the report, ERS used a virtual shopping basket of 17 products and data collected from Nielsen scanners to calculate the organic prices and how they changed from 2004-2010.

When comparing product prices between farmers markets and retail stores, local products are competitively priced - within a 10 percent price range - at farmers markets a majority of the time, even less expensive for some foods.  Local, certified organic products at farmers markets are almost always competitively priced when compared to prices at retail stores.

These are just some of the findings from a recent project conducted by the Local Foods Data Tracking Program, a joint effort between USDA’s Agricultural Marketing Service (AMS) Market News division and the Vermont Agency of Agriculture, Food, & Markets (VAAFM).  Prices were collected on a variety of fruits and vegetables, as well as a selection of meat and poultry products grown and sold in Vermont.

Anticipation is building for the opening of seasonal farmers markets in communities across the country—especially in Takoma Park, MD, at the Crossroads Farmers Market.  With over 1,000 visitors each week and vendors offering 131 different fruits and vegetables, market manager Michelle Dudley has a lot of work to do figuring out the perfect placement of farmers and vendors coming to the market starting June 1.

Thanks to USDA’s Agricultural Marketing Service (AMS), she has it all mapped out!

Excitement is building in the produce industry.  From salad greens to roasted beets to fresh blueberries, local food is showing up on grocery stores shelves, as new features on restaurants menus and on our kids’ school lunch plates.  The increased demand for local food is creating more opportunities for farmers, ranchers and producers. While exploring new ways to meet the demand, the produce industry is also keeping an eye on the U.S. Food and Drug Administration’s Food Safety Modernization Act (FSMA).

To help producers meet the requirements of FSMA, one of the most important services USDA’s Agricultural Marketing Service (AMS) provides is our Good Agricultural Practices (GAP) certification. That’s why we’re launching a new GroupGAP certification program that allows smaller growers and producers to band together to become certified as a group. We are working closely with FDA to align our GAP and GroupGAP programs with FSMA requirements so that as FSMA takes effect, certified growers will know they are meeting the new requirements.

By Michael Jones, Ohio USDA Public Information Coordinator

Ohio Congresswoman Marcy Kaptur invited USDA Rural Development Deputy Under Secretary Cheryl L. Cook to attend a district sponsored USDA Resource Fair earlier this month. Cook and about 90 business owners, agricultural growers, local community leaders and residents gathered to evaluate available financial and technical assistance resources at multiple events in the Toledo and Huron County area.