Dedicated consumers drive organic sales in the UK
Posted - June 10, 2009
Dedicated consumers drive organic sales in the UK
By Adrian Larose - From the Soil Association Organic Market Report 2009
Crashing stock markets and nose-diving banks are not news to anyone in the United Kingdom these days. A slow recovery may be beginning, but many shoppers find themselves a long way – mostly downwards! – from the heady, no-holds-barred purchasing power of the years preceding 2008.
The Greater London Authority, a governing body for the UK capital, estimates London’s overall economic growth rate will decrease by almost 3percent in 2009 and remain negative in 2010. Employment levels in the city are set to decrease through the end of 2011.
Yet amidst all this, sales of organic products still grew by about 2 percent during 2008, says the 2009 Organic Market Report recently-released by the Soil Association, the UK’s most respected authority in sustainable agriculture and organic production.. The report uses polling data supplied by the Market Tools and Omnibus firms.
Receding incomes have led some UK consumers to cut back on organic consumption recently, with the BBC reporting more than 10% declines in organic sales for March and April 2009.
Core organic consumers, though – 15 percent of the people who purchase many organic products regularly, rather than the occasional organic “luxury” item – plan to stay committed to organics in the recession, stating they will cut back on holidays and other leisure activities to afford the organic premiums. The polls say that 36 percent of consumers who spend more than 40 percent of their household budget in organic food and beverages plan to increase that spending, while only 15 per cent expect to cut back on these purchases.
Meanwhile, more consumers are buying at least a little bit of organics. Fully 90% of surveyed homes reported buying some organic products, compared to a touch more than 75% in 2004.
Personal care and cosmetics enjoy relative strength versus produce and meat, the Soil Association report suggests. Recession-wary shoppers in this strong category “trade down,” choosing cheaper, multi-purpose personal care products, still in organic quality, rather than more expensive, specialized products.
Organic dairy sales, which grew about 11 per cent in 2008, are falling, though dairy remains an entry point to attract new organic consumers.
UK organic pork has become a victim of its own success, according to the Soil Association report. Growing demand saw its production double from 2006 through 2008 – causing organic feed prices to shoot through the roof. That pushed prices too high for most tastes. Organic pork production is estimated to fall by 40% through 2009.
In the fields, UK vegetable growers have experienced poor seasons lately, with cool, damp summers. Demand for certain traditional local crops is growing, with produce such as broad beans, spring greens and fresh herbs in high demand, the report notes.
Overall, the UK’s organic farmers continue to enjoy higher profits versus conventional. The Organic Market Report notes that the price gap between organic and conventional products in most categories continues to narrow due to high fossil fuel prices, making organics seem more affordable to the consumer (and profitable to the farmer). High fuel prices hurt conventional products more, due to petroleum ingredients in chemical fertilizers and other conventional food production requirements.
Local producers may be set to climb to the top of organic production, due to increased long-distance transportation costs and piqued interest from consumers. Poor exchange rates with the Euro, meanwhile, have driven UK consumers away from imports.
As with any category, improved availability and branding remain central ways to increase exposure of organic products. Interesting to note that more than 25 percent of consumers surveyed stated they might buy more organic products if more were available locally, or if they were offered by their favorite conventional brands.
“It is clear from this report that much more work needs to be done to communicate the wider benefits of organic production to the public, especially in relation to health, animal welfare, climate change and the environment, writes ”Peter Melchett, policy director at the Soil Association. “Those (consumers) with a sophisticated understanding of all the benefits are the ones most likely to become or remain committed buyers – they know too much to turn back”.
Jobs are turning green
Posted - June 10, 2009
Jobs are turning green
By John Coghlan
With world-wide recession, the US and Europe have jobless rates at about 9%, while those in Asia are on the rise. But if workers are leaving jobs in high-cost goods sectors, green jobs are growing. For example, with growth in organic farming, the US has found itself lacking farmers. Food guru Michael Pollan says that given that organic farming is more labour intensive than large-scale, artificial-fertilizer farming, the need for farmers is growing. In developed countries the farm population has declined dramatically and farmers are aging. In the USA there are only two million with an average age of 55. In Canada the age average is 52, and 60 in the UK. The next decade there will be need for new skilled and knowledgeable farmers to take over the farming activity in a sustainable way.
With an aging population and more consumers willing to avoid high health care costs, health oriented careers with focus on prevention and proactive lifestyles will also be in demand. Also highly qualified teachers able to bring a holistic view to the classroom, to allow students to make connections between apparently unrelated activities and events.
Here Comes the Sun
Another green job that is growing is the solar-power installer. Installers can earn the wage of a skilled technician. And given the cost of energy and concerns about greenhouse gasses, more and more households and organizations are buying solar panels. Meanwhile, in the US, up to 48% of energy goes into building, and fuel prices and the problem of greenhouse gasses mount: energy-efficient builders will be in big demand over the next decade. And since building with resin-composites demands much less energy than with traditional materials, builders may also start building with these materials, producing jobs in this sector.
But at the moment, the fastest-growing source of alternative energy is wind power, accounting for over 300,000 jobs in the world. Since wind turbines are 90% metal, other industries using metallurgy - car companies for example, could convert some of their production to making these turbines.
The down-turn in the housing, car and high-tech markets is causing workers strife: time to go for green trades.
Herbal Medicine, from Field to Factory
Posted - June 8, 2009
Gaia Herbs Announces Annual Summer Solstice Open House
America’s Gaia Herbs, grower and manufacturer of organic botanical medicines, welcomes the public to its annual Summer Solstice Open House. The June 20th event will take place 10 am – 4 pm in Brevard, NC, United States of America. Visitors may tour the 250-acre certified organic farm and state-of-the-art manufacturing facility.
The company grows herbs such as Echinacea, California Poppy, and Valerian. All should be in full bloom June 20, one of the longest days of the year. Walk the fields, or ride on a tractor-led wagon to each spot.
Tours of Gaia’s certified organic manufacturing facility will give guests a behind-the-scenes understanding of how herbs are extracted, formulated, encapsulated and packaged for sale. All tours are offered on a first-come-first served basis.
Gaia is a USA-based certified organic grower and manufacturer of liquid herbal extracts. The company cultivates 250 acres of medicinal herbs which, along with operations at the 36,000 square-foot manufacturing facility, are organically certified annually by Oregon Tilth under the USDA’s National Organic Program.
Light refreshments and entertainment will be provided, including face painting, local music, and songs and stories by noted naturalist, herbalist and storyteller Dan Noland. An eco-highlight, staff will conduct workshops on how to make a rain barrel for drought management.
Visitors are encouraged to bring water bottles - refills are free! Wear shoes and clothing suited for a day on the farm.
For a complete schedule and directions, visit www.gaiaherbs.com.
Chia seeds receive EU novel food status
Posted - June 6, 2009
Chia seeds receive EU novel food status
By Lucia Lorente
After years of strong commitment and a considerable investment, Benexia™ Chia Seed has finally received Novel Food status in the European Union. Benexia™, the brand given to chia ( Salvia Hispanica L) cultivated in Argentina and Bolivia, and marketed by the Chilean firm Functional Products Trading S.A. ,received approval for use in bread application at a maximum level of 5 percent. Further applications are on their way to allow Benexia™ Chia Seed and its by-products access to other industries in the EU market.
The novel legislation (EC) 258/97 of January 27, 1997 refers to the introduction of foods or ingredients not present in the EU market to a significant degree before the entry into force of the Regulation in May 1997. The dossier was introduced in 2006 by the Columbus Paradigm Institute S.A. in collaboration with Functional Products Trading S.A.
“It is a major breakthrough to finally permit Chia in the European market, as they have been enjoyed in other countries” , says Sandra Gillot, ceo of Functional Products Trading S.A in the city of Santiago. But this is just the beginning, advices Gillot, the company and its trading partners expect strong promotion of the amazing health benefits contained in these tiny seeds in the EU and elsewhere. The Benexia™ line includes chia seeds sold in bulk and pre packed for retail sale, chia bran, chia oil, chia soft gel capsules and chia ALA powder (dehydrated chia oil) sold already throughout Latin America, the United States, Canada and Asian countries, says marketing manager Anne Keller.
A summer annual plant from the mint family and ancient sacred food widely cultivated in the Aztec Empire during Pre-colonial times, Chia is a high-energy, endurance food, and one of the richest plant sources of Omega-3 fatty acids. It is known that Omega 3 lowers cholesterol and supports the immune nervous and cardiovascular systems. Chia seeds also contain antioxidants, dietary fibre, minerals and protein.
Functional Product S.A. was created as a farmer initiative that took part in a project sponsored by public and private U.S. and Argentinean organizations, to identify and produce alternative crops at an industrial scale. The goal was to improve the economy for farmers in Argentina’s north western region. The Chia seed was chosen because of its exceptional nutritional properties. Functional Products Trading S.A. was created to market Chia seeds under the Benexia™ brand.
Today Functional Product S.A. claims to be the world’s largest and most effective producer of chia. Gillot says the company currently has over 3,500 hectares in active production. “It has been an arduous process”, she says. “We had a great product and land, but to really take off with large scale production, there was need for serious investors and a market to secure the future of the crops”.
Banks refused to lend funds and some interested parties did not have enough capital, until Gillot met Dean Mosca, president of Proprietary Nutritionals Inc. (PNI), a subsidiary of Pharmachem Laboratories, Inc. based in New Jersey, USA. PNI specializes in brand building for the nutritional supplement and functional food industries. “PNI really understood the magnitude of the project”, says Gillot. “I never heard about chia seeds before”, says Mosca. “I was astonished to see its amazing nutritional value; it has more antioxidants per gram than blueberries”.
The goal of PNI is to develop patentable ingredients and this is exactly the potential they saw in Benexia™ Chia Seed. The gluten-free grain can be ground into flour for baking or added to different formulations for the food and beverage industries. “We already have patent on an isolate protein and a soluble chia oil powder “, says Mosca.
Benexia™ Chia Seed is grown under Good Agricultural Practices (GLOBAL-GAP), and carefully selected under GMP (Good Manufacturing Practices) and has achieved HACCP (Hazard Analysis and Critical Control Point) international quality standards. “We also believe in sustainability and social responsibility”, says Gillot. “We have now some land in the process of organic certification. The company is also considering Fair Trade certification, especially for the project in Bolivia.
Whether organic, Fair Trade or produced under GLOBAL GAP, one thing is clear: in the grain category chia seeds are the next rising star of ancient superfoods and soon Europeans will also discover the many health benefits of these tiny seeds.
Sprouts: nutritious and sustainable ancient food of the future
Posted - June 6, 2009
Sprouts: nutritious and sustainable ancient food of the future
By Kelly Roesler
Sprouts are loaded with vitamins, enzymes and minerals. They are also rich in antioxidants and anti-carcinogens. Bean sprouts, alfalfa sprouts, brussel sprouts, and sprouts of all descriptions are mostly found in trendy restaurants and stylish markets and may soon find their way into family kitchens. While the health benefits have been highlighted by experts for years, labelling sprouts a super natural food, mainstream success has been elusive.
FACTORS INFLUENCING SLOW MARKET PENETRATION
Several factors have influenced their slow and painful market penetration. “Not enough information about the inherent health benefits of sprouts have reached a wide audience, especially in the western countries,” says Barbara Sanderson of Jonathan’s Sprouts in Rochester, Mass., and co-founder of the International Sprout Growers Association (ISGA).
A staple food in Asian cultures- particularly Japan, China and Thailand- sprouts have enjoyed moments of glory. In 1700, sailors in Europe discovered that their high content of vitamin C could combat scurvy, reads the ISGA website. During the Second World War, university scientists at Cornell, Pennsylvania, Minnesota, Yale and McGill studied the nutritional properties of sprouts.
Researchers found sprouts retain the original B-complex vitamins. In addition, they show an increase in Vitamin A and a phenomenal amount of Vitamin C over unsprouted seeds. Sprouts were seen as “hippy food” in the late 1960’s, according to Steve Meyerowitz, author of several books on health and nutrition and known since the 1970’s as “The Sproutman.”
Over the past 40 years, sprouts have remained popular among vegetarians and in Asian cuisine. California, once nicknamed “the Sprout State,” has been the home of more mainstream success for sprouts than other states. However, a major factor hindering growth has been E. Coli and salmonella contamination, resulting in devastating media coverage.
“Salmonella is bad news and unfortunately no food is immune to it, ”says Meyerowitz. “But all raw foods carry the risk of contamination and that includes fresh fruits and vegetables, which have even more pathogen outbreaks than sprouts.” The International Sprout Growers Association, with the US Food and Drug Administration (FDA), have set stringent guidelines for the production of sprouts. But each time there has been an incident, the FDA warns consumers against sprouts, triggering a negative backlash.
All reported cases have come from sprouts grown in industrial facilities, says Meyerowitz, who has developed several devices for commercial and home use, including a simple hemp bag that has proven an efficient sprouter. Another solution is to offer sprouted seeds slightly dried to avoid safety problems.
“Sprouting units, juicers, and other devices for the “do-it-yourself” market will still sell, but they will always be a small market segment,” says Jerry Zeifman, president of Canadian organic certified importing and distributing firm Advantage Health Matters Inc. “Most people do not want to clean juicers or wait to get their sprouts.”
CASE STUDY: ORGANIC TRADITIONS
Under the brand Organic Traditions ™, Advantage offers sprouted flax, chia, sesame, amaranth, brown rice and quinoa dried at a low temperature, ready to use as a snack, to add to salads and soups, or to soak in and germinate. The line is offered in bulk for industrial use and in attractive packaging and display for retail.
“Organic Traditions™ avoids conventional drying methods in favour of dehydration to ensure the highest quality product with minimal loss of pigmentation, taste or nutrients”, says Mark Schneider, registered holistic nutritionist at Advantage. “With the sprouted dehydrated seeds, we are still offering a living source of nutrients,” adds Zeifman. A “non-friction – no heat” milling process is used to optimally preserve nutritional value and product stability. “Because of the dramatic increase in antioxidant content that results from the sprouting process, Organic Traditions™ Sprouted Omega Chia/Flax requires no refrigeration and has a remarkably long shelf life: up to four years when stored at room temperature”, says Schneider.
The sprouts sector has overcome significant challenges. But with the desire of consumers and governments to reduce malnutrition and create a sustainable world, research and industry discussions will drive the sector.
