For the first time since 2004 (DAFF report) an all-Australian, all-organic market report researched by University of New England's Organic Research Unit. has been released by the Biological Farmers of Australia.
Amongst some of the key findings are:

• Despite widespread drought, farm gate sales have risen by over 80% as an average across all sectors since last reported in 2004
• Retail value of organic sector estimated at above $0.5B for the first time
• 2007 farm gate values were estimated to be in excess of $231,000,000
• 40% of consumers surveyed purchase organic food at least occasionally, and women are the primary purchasers
• Health, environment concerns and a belief that organic food tastes better remain the three most common reasons for consumers to buy organic
• Major barriers to purchasing organic products remain price and availability
• Organic farmers on average younger than non-organic
• Major supermarkets now stock more than 500 organic products in various category lines
• Re-confirmed: Australia has the largest amount of certified organic land area in the world
• The number of certified organic operators has increased by 5.2% average net annual increase over the last 5 years
• Organic farmers represent 1.5 - 1.8% of all farmers in Australia

Farmers market proposed for the Peel Region
Food producers in the Peel region have formed a working group to establish a regional farmers market. With support from the Peel Development Commission and the Department of Agriculture and Food, the working group is bringing together all the details and recommendations for consideration by the regional producers. A number of sites have been proposed in either Pinjarra or Mandurah. A good range of organic producers have expressed interest in having a stall at the proposed market. For more information contact Colleen Yates, Peel Development Commission. Ph 9535 0005.

What appeals about organic to Australians?
A consumer survey conducted by Organic Guide at Sydney's Organic Expo has found that the reasons for choosing organic over conventional products has changed significantly to include climate change. A leading organic expert from the UK also suggested that consumer loyalty was stronger in the organic sector, which means they are prepared to pay more for organic goods.
“Organic farming, with its emphasis on closed nutrient cycles, biodiversity, and effective soil management, has the capacity to sequester carbon from the earth's atmosphere and trap it in the soil as carbon,” claimed Gavin Robertson, Editor of Organic Guide. “While previously organic consumers focused on personal health benefits, today they're focusing on broader global concerns.”
The survey looked at the reasons why consumers choose organic over conventional products. Concerns regarding genetically modified organisms, the processes of industrial farming, and having greater control over the products consumed remain important.
However, concerns about the environment, pollution and, in particular, global warming now play a significant role in consumer choice.
“Global warming is a factor in the cars we choose to drive, the energy we consume and increasingly, the food that we eat,” advised Robertson. “If Australian consumers at the Sydney Expo are anything to go by, then this would be a global trend.”
Meanwhile, the chair of the UK's largest organic association and founder of iconic global brand Green & Blacks organic chocolate, Craig Sams, has given Australian industry insight into how to keep organic momentum climbing.
Data from the Australian Organic Market Report 2008 (the first local organic data available since 2004) revealed farm-gate organic sales in Australia have grown by 80% since 2004, with industry breaking through a $0.5B retail value mark for the first time. In comparison, organic food and drink sales in the UK market edged towards £2 billion (approx $AUD 4.2 billion) in 2006.
Mr Sams advised that differences between the development of the UK and Australia's younger organic market could end up appearing at a retail level. “Growth in the UK was fundamentally assisted by intensely competitive initial uptake of independent organic brands by major retailers,” he said.
By comparison increased organic demand in Australia - where organic retailers now stock in excess of 500 lines - has occurred with many expanding ‘house-brand' or generic organic retail lines.
Mr Sams says in the UK, independent labels worked for both parties because organic consumers were brand loyal and were likely to spend more in-store. “Retailers found consumers who purchased organic were more likely to select more food of a higher quality whether it was organic or not,” he reported.
(Source: Isobel Drake, Ausfoodnews.com)

Organic food 'good for you' says European Union - EU Commission Starts Organic Campaign.
A website under the motto of "Organic farming, good for nature, good for you" was recently activated in 22 languages. The clearly arranged and informative Internet site provides argumentation material for the general public and the organic sector. The "Toolbox" section offers radio and TV spots and various information packages for downloading by farmers, processors, retailers and the catering trade.
The initiative is part of the European Action Plan for Organic Food and Farming. A competition for designing a new EU organic logo will be organized at the end of this year, with admission open to art and design students. www.organic-farming.europa.eu Source: BIOFACH via OFA

Soil Carbon Alliance
The farmers' climate change lobby group, Carbon Coalition has joined forces with organic industry peak body, the Organic Federation of Australia (OFA), and environmental research and marketing organization, the Centre for Organic Resource & Enterprise (CORE), to form the Soil Carbon Alliance.
The soil is a powerful carbon sink that can play a major role in turning the table on climate change if given a chance, according to the Alliance. It stores more carbon than the atmosphere and all the trees and vegetation on the Earth combined. Australia has more than 450 million hectares of land managed by farmers. There are 5.5 billion hectares of farmland in the world "If farmers were to sequester half a tonne of carbon per hectare, we could extract more than 12 billion tonnes of CO2 from the atmosphere," said Michael Kiely from the Carbon Coalition. The world emits 8 billion tonnes more than it should each year. "Already farmers in WA are sequestering between 1 and 3 tonnes per hectare per year, according to Government – sponsored trials."
Soil carbon has been a neglected field for scientific work (compared to the $175million given to the coal industry to develop ‘clean coal'.) This under-investment has left Agriculture unprepared for joining the Emissions Trading Scheme. (Source: OFA)

Organic consumers yet to be shaken by troubled economy
Shoppers in the US are continuing to buy natural and organic foods despite difficult economic times, according to research, but experts question how long it can last.
Food prices may be rising but 70 percent of consumers are continuing to buy the same amount of natural and/or organic foods as they always have, the online survey, carried out on behalf of Whole Foods Market, showed.
The results also showed that 79 percent said they do not want to compromise on the quality of the food they buy. Christopher Shanahan, research analyst, chemicals, materials and food, for Frost & Sullivan, said that in the short term, the survey results ring true.
However, he added: “In the long run I don't think that is going to be necessarily true. I think consumers are going to start to switch away if prices become a larger factor.
“Trading away to more affordable goods would be a reasonable option.”
Food prices are predicted to rise between five and six percent this year, which would be the largest annual increase since 1990.
Shanahan said it has already been a gloomy year for organic foods, compared to food production in general.
But he added: “There are a lot of consumers who are very insensitive and only want to buy organic or buy products that are deemed natural. “That won't go away and that has always grown but there might be a substantial slow down away from that.
“Sourcing organic food may become increasingly harder as well because the margins on organic isn't the same as other food. The incentive for farmers is diminishing.”
The once niche organic trend has become more mainstream over the years as major food companies have developed organic product lines, but there are signs that it is becoming an increasingly difficult market.
The Organic Trade Association (OTA) reports that US organic food sales have grown between 17 and 21 percent annually since 1997. That compares to between two and four percent growth for total US food sales during the same time period.
However, a recent report from The Hartman Group indicated that the organic trend has reached a plateau as consumer interest is waning and attention turns to other food categories such as fresh, local and fair trade.
Shelley Balanko, of The Hartman Group, told FoodNavigator-USA.com at the time that it is no longer the case that if food manufacturers make a product organic, consumers will buy it for that reason alone.
The report said manufacturers and retailers would have to develop specific understandings of the “organic categories that consumers find relevant and those that they find uninteresting and even frivolous”. An example of this is organic truffles.
Survey results
The Food and the Economy survey, conducted by Harris Interactive, found 67 percent prefer to buy natural and/or organic foods to conventional foods if prices are comparable, and 66 percent would like to find ways to be able to buy these foods within their budget.
It also found that 43 percent of adults are now preparing more meals at home and 37 percent are going out of their way to look for lower-cost items as a result of higher food costs.
The online poll took place between August 6 and August 8, 2008 among 2,209 adults aged over 18. Data were weighted to be representative of the US adult population.
(Source: By Sarah Hils, Food navigator)

Organic Standards - public comment submissions close 22 Sept
Reminder that no late submissions will be accepted, so if you wish to raise any issues regarding the draft Australian Standard – Organic and Biodynamic Products or the linked Aust. Stds - Misc. Pub. Procedures for Certification of Organic and Biodynamic Products, then please see the Standards Australia web site www.standards.org.au and click on Drafts for Public Comment in the left hand menu. for copies of the two draft documents and the public comment submission form. Any queries please feel free to contact your OGAWA Organic Standards Working Group leader, Steven McCoy ph 9368 3960 or smccoy@agric.wa.gov.au

Food and Beverage Awards 2008/2009 – call for entries
Award presentations are held now on 14th November, 2008, in a gala event at the Burswood Entertainment Complex. Nominations in the following categories are invited from WA operating companies: Innovation, Best New Retail Product, Best Food Service Product/Achievement, Environment and Sustainability, Service to Food Industry, Export and Best Marketing Campaign. Entries close September 30, 2008 – so don't miss the chance to have your company, products and services promoted in this now annual event. To download the entry form and for more information click here.

Regional Foods Market Development
A new opportunity exists for WA regional food manufacturers to supply selected Perth IGA stores…Read More

Grants Directory 2008
The Grants Directory is a compilation of grants and other assistance programs available to communities and local governments in regional and metropolitan Western Australia. The Directory contains programs provided by the Western Australian and Australian Governments as well as private sector organisations. (Source: agrifoods infonet)

Cattle Wanted
Gilly Dodd is looking to purchase 20 steers, polled and certified organic.
If anyone can assist, please email Gilly at doddy@iinet.net.au

Steven McCoy
Development Officer - Organic Food and Farming
Food and Trade Development
Department of Agriculture and Food, WA
Locked Bag 4
Bentley Delivery Centre WA 6983
T:  + 61 8 9368 3960
F:  + 61 8 9367 7389
M: + 61 8 (0)424 147 408
W: www.agric.wa.gov.au