April 2025
The global organic food market size was projected to reach USD 228.38 billion in 2024 and is expected to reach USD 660.25 billion by 2034, growing at a CAGR of 11.20% over the forecast period. The increase in consumer awareness about the health and organic food benefits among individuals has helped this market to grow
Organic food also known as biological food, which are produced by organic farming. Organic food and organic farming practices promote ecological balance and conserve biodiversity traditional farming practices lead to soil degradation, water pollution, and loss of biodiversity. In contrast, Organic foods are not processed under irrigation, industrial solvents, or any synthetic food additives and have a strong emphasis on environmental sustainability.
The increasing health awareness associated with chemical pesticides and fertilizers has increased the demand for organic food and also awareness about the health benefits associated with organic food products. The government initiatives and rising investments in agribusinesses, agri-tech, and organic farming have helped the market to grow significantly. Technological advancement, private labels, growth of plant base and vegan diet growth of E-commerce are the main drivers of the organic food market.
Innovation in precision agriculture, hydroponics, and vertical farming has helped organic farming more efficient and scalable. The integration of AI in organic farming can help optimize the process help know the nutritive content and help maintain the quality of the product, the recording of the database about the potential customers can be generated and have real-time access to it, which will help in growth and expansion of the market.
The intensified traditional farming and the risks associated with it have generated the need for organic farming to maintain soil health in the long run, but the high production cost and operational costs have limited the growth of the market. Shorter shelf life constrains the market growth. The premium pricing of organic products limits the widespread customer acceptance of the product, hampering the market growth and expansion.
North America Dominated the Organic Food Market in 2024.
Government support for organic and clean farming is high in this region, which contributes largely to the growth of the market, the U.S. accounts for the highest organic food sales globally. The high customer awareness about health and sustainability and strong government regulations help this market to grow in the region. The wide range of organic food availability and variety of options to choose from for the consumers fuel this market to grow significantly.
Asia Pacific is the Fastest-Growing Organic Food Market in the Forecasted Period.
The increasing urbanization and rising disposable incomes in regions like India, and China have fuelled this market to grow rapidly. The rising government initiatives like organic farming and sustainability drive this market. India is a major exporter of organic food, organic dairy, and plant-based alternatives. Rising health consciousness among the urban population and e-commerce platforms selling organic food has made consumption and purchase more convenient which contribute in the expansion of the market.
The Organic Fruit and Vegetable Segment Dominated the Organic Food Market in 2024.
The demand for organic fruits and vegetables is growing rapidly due to increasing awareness regarding the health and benefits of organic food over traditional food as the use of pesticides and fertilizers in organic food is zero as compared to traditional food. This increase is due to the increasing adoption of organic food. The Organic Meat, Poultry, and Dairy segment is expected to grow in the forecasted period. The growth of the segment is attributed due to increasing demand for hormone-free products and clean-label products.
The Online Distribution Channel Dominated the Market in 2024.
The growth of the segment is owing to the convenience and subscription model on the online apps, which is very convenient for busy working professionals. On the other hand, the supermarket and hypermarket distribution segment expect a significant growth in the market during the forecast period. The easy accessibility and variety in the supermarkets are driving the growth of the segment. The increasing preference in-store shopping for immediate purchase as there are a variety of products for selection and comparison. This allows consumers to make choices by directly evaluating the products.
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April 2025
April 2025
April 2025
April 2025