Topping the list of business opportunities identified by the Department of Trade and Industry, the organic market has grown remarkable distinction in both domestic and international market.
Based on DTI estimates, the domestic market for organic products was valued at $6.2 million in 1999 and still rising by approximately by 10-20% annually. This growth rate could still be possibly accelerated with government support. The same report estimated that demand for organic products would outpace local production.
Market potential for organic product is evident in the result of surveys done by Upland Marketing Foundation Inc. (UMFI), which shows that 58% of consumers were organic product users.
The prospective of organic product in the domestic and international markets were the results of several factors that have heightened people’s awareness to:
a. Increase in aging population
b. Increase in health consciousness-consumer demand shifts towards using alternative health products. c. Emergence of unknown diseases in human, plants and animals d. Persistent problems in agriculture
e. Increase outbreak of food scares
f. Low agriculture productivity
g. Natural calamities
In the Philippines, the market size of organic product is relatively small. This current situation resulted into demand outstripping supply. Thus, a growing demand for organic producers clearly exists. Organic products with prevailing demands in the domestic market includes fresh / dried tropical fruits, vegetables, grains, nuts, wines, organic sugar (otherwise known as (muscovado), juices, snacks and other organically prepared foods. The growing demand for organic products aforementioned has already invaded several international markets. The product’s organic attribute is the major factor that boosted demand and growth in both markets. With the analysis of these contributing factors to the growth and...