Terry Long, Specialty Crops Market News Division
Melissa Reeves, Specialty Crops Market News Division
The U.S. Department of Agriculture (USDA) established national organic production and handling standards in 2002 in response to increasing consumer demand for the regulation of organic foods. U.S. consumers have steadily increased purchases of organic foods and demand shows no sign of leveling off.
By far, the highest dollar value for organic food sales is earned by fruits and vegetables, reaching over $5.5 billion -- an increase of 72 percent from 2008, according to the National Agricultural Statistics Service’s 2014 Organic Survey.
COVERAGE & COMPETITION
For continued growth, production of organic produce must be economically feasible and profitable. USDA’s Specialty Crops Market News can help by providing growers and shippers with the market information they need to compete, such as daily price and volume information for more than 133 organic fruits and vegetables.
Market News covers pricing at three major levels within the supply chain:
- from shipping point where fruits and vegetables are sold after they leave the field;
- at wholesale (terminal) markets where distributors, chefs, and retailers can view and buy them; and
- at retail stores where grocers sell produce to the public.
Market News also reports movement of fruits and vegetables leaving major shipping points and major points of entry for imports, enabling the industry to understand the volume entering the supply chain.
DATA MINING
How can organic producers use Market News data to their advantage? The organic berry industry provides a great example.
With demand for organic berries on the rise, the accurate and timely market information disseminated on the Market News Portal has become an invaluable tool for maintaining a competitive edge in this growing industry. Historical information can be used to track market trends, while shipping point prices can be used as a benchmark for performance. Some companies hire analysts to use Market News reports to create proprietary data depositories to develop models for planning crop and marketing strategies.
Furthermore, retailers track shipping point prices for many commodities, just as restaurateurs look for the availability of fruits and vegetables in the wholesale market reports. Small growers often use the ‘Local and Organic’ report as a benchmark for setting prices on their crops. These are just a few of the many ways the organic industry can benefit from Market News information.
FIND IT HERE
Market information for both conventional and organic produce exists on the Market News Portal at www.marketnews.usda.gov/mnp/fv-home . To accommodate the needs of growers, buyers, and sellers of organic produce, Market News also developed several reports specific to the organic industry. This includes the daily “National Specialty Crops Organic Summary” and the weekly “National Retail Report: Local and Organic.”
The Market News staff is currently working to increase coverage of additional commodities at more levels, with a focus on local and regional food systems in the near future. As the organic produce sector continues to grow, so will Market News’ ability to provide the specialty crops industry with accurate and timely information.