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Organic Sector Growing Successfully - latest research

Organic Sector Growing Successfully - latest research

The latest New Zealand organic market research report (to be launched in Parliament on March 6)* finds that the organic sector has grown in value by around 25% in the past three years.

At a time of global recession, when demand for high quality foods generally has been depressed, the organic export and domestic market has continued to grow in value at an average of 8% per annum.

“This sustainable and consistent growth rate, which is in marked contrast to the erratic fluctuations in the primary sector as a whole, shows that demand for organics is increasing steadily. People here and abroad are seeking out food they can trust and enjoy,” says Brendan Hoare, Chair of OANZ (Organics Aotearoa New Zealand), the organic sector umbrella group which commissioned the report.

Other highlights from the report, which was prepared by researchers from the University of Otago and the Agribusiness Group, include:

* Organic wine has been the fastest growing production sector in the past three years. There are now over 100 organic vineyards, representing 7.6% of all vineyards in New Zealand.

* Organic dairy
continues to grow rapidly - 33% since 2009.

* Organic gardening at home, in schools and in especially in community gardens is growing fast. There are now 3-4 times more organic community gardens in New Zealand than there were five years ago!

* Organic beverage exports
(wine, beer, fruit juices, soft drinks) are now worth $29 million – 70% more than they were worth three years ago.

* The organic domestic retail sector has also experienced strong growth, and is now worth between $126 and $133 million – a 27% increase on what it was worth in 2009.
* The world's first indigenous organic verification system, Te Hua Parakore, was launched in 2011, and is now setting a world benchmark for production by first nations people according to traditional values concerning the relationships between whenua and tangata.

* New markets for organics are growing – especially in Asia, with South Korea (11% of organic exports) overtaking Japan (9%) as the largest Asian market for NZ organics.
“As well as growing, the organic sector is diversifying and deepening,” says Brendan Hoare. “There's room for everyone to join in. This is good news for producers and consumers here and overseas, and I'm pleased to be able to announce it.”


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