Prices for organic foods reflect many of the same costs as conventional items in terms of growing, harvesting, transportation and storage. Organically produced foods must also meet stricter regulations governing all of these steps, resulting in a more labor and management intensive process. Organic farming is usually on a smaller scale. Mounting evidence shows that if all the indirect costs of conventional food production, like the cleanup of polluted water, replacement of eroded soils, costs of health care to farmers and farm workers, were factored into the price of food, organic foods would cost the same or even less than conventionally grown foods.
A July, 2008 survey found that among customers who reported buying organic products, 56 percent had household incomes of more than $100,000, and 36 percent had incomes of less than $25,000. This data shows that the decision to shop organically is a matter of priorities.
Although the organic industry is predicted to grow at 18 percent a year through 2010, the sagging economy may tempt some Americans to cut back on organic purchases they perceive as costing more. But in the long run this choice is clearly not cost effective considering the damage to health and productivity losses associated with a conventionally grown diet, as well as the hidden costs of buying conventional. And then, there`s the taste to think about.
Sources:
Organic Trade Association, www.ota.com
