M. Tamilarasi
Burgeoning consumer interest in healthy cuisine has not only revolutionized the organic food industry, but it has opened myriad new markets. Beginning life as a niche market with a small consumer base, addressed by a limited number of retailers, organic products are now a preferred choice of many quality-conscious domestic shoppers. With food expenditure growing about 7.67% from 2010 through 2012, the demand for organic food through the retail sales medium is anticipated to increase consumer food expenditure. Produce enters the market primarily through supermarkets and grocery stores, after it originates from large farms in the U.S., Mexico and South America. However, there are numerous small farms that are certified organic and also sell their produce in local markets such as farmers markets and restaurants. This paper highlights the challenges associated with the organic food supply chain and outlines business improvement opportunities in this fast-growing market. To start things off, let’s explore the difference between conventional and organic food.
Supply Chain Management, Organic Food