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More Conventional US Farmers
Consider Going Organic

The Modesto Bee
October 27, 200

Organic Producers Look to Lower Costs, Raise Farm Income
By Richard T. Estrada

Organic farming is shedding its reputation as an agricultural alternative
and moving into the mainstream, according to the U.S. Department of
Agriculture.

"The range of organically grown food available in supermarkets and natural
food stores has widened substantially," the USDA's Catherine Greene said.
Organic farming has expanded from the traditional fresh fruits and
vegetables into milk, eggs, pasta and even frozen dinners.

Consumer demand increased 20 percent or more annually in the 1990s, the
USDA reported, and retail sales of organic goods reached $ 7.76 billion in
2000. That enthusiasm is encouraging more growers to go organic.
"More producers are considering organic farming as a way to potentially
lower costs ... capture premium prices and boost farm income," Greene said.
There were 850,177 acres of organic cropland in the United States in 1997,
according to the Census of Agriculture. The USDA expects that number to
explode by the 2002 Census.

"Growing support for organic farming systems make it likely that organic
production will remain a fast-growing segment of agriculture," Greene added.
The organic market caught the attention of the USDA this summer, when the
department began tracking sales data on organic products in certain markets.
The USDA is expected to expand its tracking system -- which includes pricing
trends -- in 2002.

While organic production is increasing across the nation, three states --
Idaho, California and North Dakota -- still account for 35 percent of
organic cropland.

Organic cropland more than doubled from 1992 to 1997, increasing from
403,400 acres to 850,177, but it still makes up only 0.2 percent of U.S.
farmland.

"I don't see a threat of saturating the organic market because the market
continues to expand every year," said Matt Devader of Lagier Ranches in
Escalon.

Lagier Ranches was founded in 1874 and began the transition from
conventional to organic farming in 1993. California Certified Organic
Farmers certified the farm as organic in 1999.

"I think we'll see a point where the short-time players leave the field, and
we have a strong foundation of organic farmers who are committed to the
business," said Devader, who oversees Lagier's marketing and processing.
Organics are more prominent in certain segments of farming.

About 2 percent of selected specialty crops -- lettuce, carrots, grapes and
apples -- were certified organic in 1997. Only 0.1 percent of field crops,
such as corn and soybeans, were organic.

Organic meat and poultry markets lag behind crops in part because they could
not be labeled "organic" before February 1999. Certified organic animals are
well under 1 percent of total U.S. livestock, though dairy cows and laying
hens are increasing.

California, the nation's largest producer of fruits, nuts and vegetables, is
also the top organic grower of those crops with 55,468 acres as of 1997.
Arizona, a distant second, has 7,442 acres.

While Idaho has the most organic cropland, nearly half of its 107,955 acres
are in herbs and another third is planted in alfalfa.
The driving force behind going organic is earning additional income,
according to the USDA.

Organic farmers earn more than double the price of conventional farmers for
several fruits and vegetables, up to 60 percent more for organic milk and 34
percent more for organic cotton.
The industry is also growing as a result of consumer confidence and
government backing.

The USDA approved national organic standards in 2000, requiring all but the
smallest farmers (sales under $ 5,000) to follow the same standards by
mid-2002.

The USDA will use private and government programs to certify organic farmers
and processors.

"Along with the rapid growth in organic foods during the 1990s, regulation
of organic food production and labeling has been evolving," Greene said. "By
the mid-1990s, over half the states had laws or rules regulating the
production and marketing of organic food and fiber."