U.S. organic food sales outperform overall food market growth in 2017
American consumers in 2017 filled more of their grocery carts with organic, buying everything from organic produce and organic ice cream to organic fresh juices and organic dried beans, according to the Organic Trade Association’s (OTA’s) 2018 Organic Industry Survey.
American consumers in 2017 filled more of their grocery carts with organic, buying everything from organic produce and organic ice cream to organic fresh juices and organic dried beans, according to the Organic Trade Association’s (OTA’s) 2018 Organic Industry Survey. Organic sales in the United States totaled a new record of $49.4 billion in 2017, up 6.4% from the previous year and reflecting new sales of nearly $3.5 billion. The organic food market hit $45.2 billion in sales, also breaking through to a new record for an increase of 6.4%.
The growth rate for organic food sales was below 2016’s 9% pace and was impacted by markedly slow growth in the big organic dairy and egg category. However, it was well above that of the overall food market, which nudged up 1.1%. Organic continues to increase its penetration into the total food market, and now accounts for 5.5% of the food sold in retail channels in the U.S.
Fruits and vegetables continued to be the largest organic food category, recording $16.5 billion in sales in 2017 on 5.3% growth. The organic dairy and egg category had one of its most challenging years in 2017. While still the second-largest selling organic category, sales of organic dairy and eggs grew just 0.9% to $6.5 billion. The slow growth in this key organic category acted as a drag on the growth of the overall industry.