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    #71
    And the trend to get bigger and to go organic, or
    as charliep pointed out...natural, is not only
    Cargill's, but by other large entities;


    "Organic agriculture is not immune from these
    trends. Many organic brands have been acquired
    by giant food processors such as General Mills,
    Kraft (Philip Morris) and Kellogg, as the
    accompanying illustration indicates. Slightly
    smaller global food processors not shown in this
    figure are also establishing their own organic
    product lines (such as Dole, Chiquita, and
    McCormick & Co.) or acquiring existing organic
    brands (J.M. Smucker bought R.W. Knudsen,
    After the Fall and Santa Cruz Organic; Novartis
    subsidiary GerberÂ’s bought Tender Harvest).
    The market share for some of these brands is
    extremely high – Horizon, White Wave and
    Earthbound Farms control over 60% of the market
    for organic milk, organic soymilk, and organic
    bagged salad mix respectively. Earthbound Farms
    is a brand of Natural Selection Foods and a
    vertically integrated “seed to salad” operation -
    it contracts with over 200 growers. It is one of just
    five farms that market half of the organic produce
    sold in California8.

    In the rapidly consolidating food retailing industry,
    the top 4 supermarkets, Wal-Mart, Kroger,
    Safeway and AlbertsonÂ’s, are increasing the
    amount of shelf space devoted to organic
    products. Kroger, for example, has a natural and
    organic section in 43% of its 2400 stores9. Fast
    growing natural foods chains such as Whole
    Foods (currently the 21st largest supermarket by
    sales10), Wild Oats and Trader JoeÂ’s have had
    success with their own brands of organic
    products, prompting mainstream retailers such as
    Kroger, Safeway, Piggly Wiggly and Harris-Teeter
    to introduce organic brands as well. Such growth
    is unlikely to benefit small farms because many
    supermarkets no longer allow managers to buy
    directly from local farmers or food processors.
    Instead, these corporations prefer to deal with
    operations that can supply huge volumes for their
    increasingly centralized supply chains."

    I'm merely a farm woman ado, but I think I see a
    trend here. Pars

    Comment


      #72
      ......Reading about what Cargill is doing, led me
      to believe the CEO's choice of the term "organic
      growth" , ado, was chosen very carefully, and
      both nuanced and twofold. Pars

      Comment


        #73
        Parsley, I wish you would consolidate
        your thesis, we seem to be all over the
        place here. To regress to the original
        statement, the use of the word organic,
        nuanced or not was definately, in its
        context, not in reference specific to
        organic food. Their premium markets are
        still primarily identity preserved,
        specialty oils, malt and milling wheat
        in the conventional realm, on the crop
        production front.

        No one is arguing that organic food
        consumption is a growing trend and it's
        not surprising that it has attracted the
        attention of the big players. With that
        said at 4% market share and under 2
        million acres in crop in the US (the
        biggest consumer organic)its a far cry
        from the world not wanting our product
        anymore. In fact, in light of the recent
        shaky economic times it appears that
        organic consumption in the UK has
        plataued. I would even argue that a fair
        portion of organic purchases have now
        became incidental because it is either
        the only option or it is a component or
        in some cases, like mustard, it can be
        cheaper. For example my favorite energy
        bar I just noticed has a lable saying
        "70% organic" whatever that means? I did
        not go out to actively seek out organic
        food.

        Setting the GMO issue aside if this was
        truly about the perceived dangers of
        pesticides why not have it that my
        pesticide use is tracked and the product
        is tested for those compounds. If said
        compounds are not found in my product
        could be sold as an equivalent to
        organic. That will never happen though
        because this has more to do with
        politics, marketing and elitism than
        food safety. Finally if the organic
        loby end game is achieved and
        conventional farming is eradicated,
        those of us who are good farmers now
        will most likely still be innovative and
        successful in the organic realm and your
        high margin niche market turns into
        another commodity market. One last note
        I guess, your organic,locally grown,
        heirloom crop utopia already exists,
        it's called subsahara Africa ex south
        Africa. Look how that is working.

        Anyway I'm out.

        Comment


          #74
          Religious discussions are never pretty.

          Comment


            #75
             Clarity for ado: 
             
            SUMMARY
            The topic was Premium Markets. Organics'
            market share is a mere  4%. The people who buy
            organic food mostly have high incomes and are
            educated.The main reason they buy organics is
            b/c they don't want to eat modified food,  or food
            with residue.  Increasingly, people ask more
            questions about food quality.  Large corporations
            now service the organic market. (links were
            provided) They continue to commit funds to
            develop systems to accommodate growing
            organic demand. Organic niche markets are a 
            premium market dictated by supply and price, just
            as pedigreed seed commands a price. Organics
            depend upon the support and trust of a small
            group of loyal consumers. Conventional farmers
            supply the rest. Both organic and conventional
            farmers farm to make profit. Premium markets
            are economically sustainable markets. Pars

            Comment


              #76
              It isn't just the elite rich. Its the
              single mom struggling to make ends meet
              that feels like shit not feeding her kids
              organic food because she can't afford it.
              That is demographic is also included in
              your gospel message of half truths and
              fake studies.

              Imagine their relief when someone tells
              them the real story. Calculated cruelty.

              Comment

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