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There has never been a better time for U.S. grown fruits and vegetables to carry an organic label, especially if you’re a grower looking to expand into the European market for organic produce.

Europe’s organic foods market is second in sales only to North America’s. Consumer awareness is creating steady demand, major supermarket chain sales are making it easier for consumers to buy organic, and strict enforcement of E.U. organic labeling laws – including the labeling of all genetically modified (GMO) ingredients – has cultivated a strong, growing base of knowledgeable and trusting consumers.

A new agreement between the E.U. and the U.S. – the E.U.-U.S. Organics Equivalency Agreement, effective Jun. 1 – makes it simpler and less costly to export organic produce to European countries.

Big markets

Global sales of organic food have risen steadily this past decade, from US$17.9 billion in 2000 to US$54.9 billion in 2009. The European market accounted for 48% (US$26 billion) of the total slipping to second place behind North America (48.1%) after the financial downturn of 2008. There are 27 countries in the E.U., all of which represent potential markets for U.S. growers of organic produce.

Germany is the largest market for organic products in Europe and also one of its largest organic producers. In spite of this fact, in 2009-2010 Germany imported 2% – 95% percent of its organic products, depending on the category, and all were products that could have been produced in-country, according to the Research Institute of Organic Agriculture (FiBL).

Sales of organics through conventional supermarkets will continue to drive the growth of Europe’s organic market. In most European countries, conventional supermarket chains have a share of more than 50% of the organic market. Because these retail chains have greater resources, they’re able to create more awareness through promotions and offer a broad selection of organic products, which contributes to the overall growth of Europe’s market. Fruits and vegetables are typical entry points for consumers buying organic products.