Organic Premiums Remain Strong in Most Markets

Tim Hammerich

News Reporter

The market for certified organic products has certainly grown over the past two decades, but is supply starting to outpace demand? Maybe in a few markets, says extension specialist Dr. Erin Silva, but generally speaking, the organic premiums are still in place.

Silva… “Just like conventional prices can vary depending on market factors and other influences with respect to supply and demand, organic can certainly do that as well. So organic premiums certainly have fluctuated and there are certain, corn and dairy among them, that have been on the downswing. But there's other crops such as organic soybeans that have been on the upswing. So overall the premiums have still been trending positively, but yeah, certainly there has been some ups and downs in the market in recent years.”

Silva says the economics have to work, but many organic producers have other motivations as well.

Silva… “Most organic farmers, if not all organic farmers that I work with are looking at managing the best way that they can. Following the foundational principles of organic of focusing on land stewardship and being the best organic farmers they can possibly be in the best stewards of their land that they can possibly be.”

Organic continues to present marketing and agronomic opportunities to farmers.