product labeled as ‘‘organic,’’ all agricultural ingredients must be organically pro-
duced unless the ingredients are not commercially available in organic form. The
USDA organic seal—the words ‘‘USDA organic’’ inside a circle—may be used on
agricultural products that are ‘‘l00 percent organic’’ or ‘‘organic.’’ A civil penalty of
up to $10,000 can be levied on any person who knowingly sells or labels as organic
a product that is not produced and handledin accordance with these regulations.^63The Booming Market for OrganicsThe number of Americans who tried organic foods jumped to 65 percent in 2005,
compared to 54 percent in 2003 and 2004. One quarter of 1,000 people responding
to survey said they were consuming more organics than they had the year before. In
the annual survey, 10 percent of respondents said they consume organic foods several
times per week, up from just 7 percent in 2004.
Americans are buying organic foods and beverages for a variety of reasons. The top
three are: avoidance of pesticides (70.3 percent), freshness (68.3 percent), and health
and nutrition (67.1 percent). More than half (55 percent) buy organic to avoid genet-
ically modified foods. Also, more than half of all respondents agreed that organic
foods and beverages are ‘‘better for my health’’ (52.8 percent) and better for the envi-
ronment (52.4 percent).
The survey unveiled significantly higher taste and quality ratings from Americans
who regularly consume organic foods and beverages. Fresh fruits and vegetables
remain overwhelmingly the most frequently purchased category of organic foods at
73 percent. Produce is followed by non-dairy beverages (32 percent), bread or baked
goods (32 percent), dairy items (24.6 percent), packaged goods such as soup or pasta
(22.2 percent), meat (22.2 percent), snack foods (22.1 percent), frozen foods (16.6
percent), prepared and ready-to-eat meals (12.2 percent), and baby food (3.2 per-
cent). One quarter of respondents said they purchase organic foods at natural foods
supermarkets, while 18 percent shop for organics at farmers’ markets.
The main barrier to purchasing continues to be price; almost three-quarters (74.6
percent) of respondents said the cost of organic food and beverages is the main reason
they do not consume more. Other reasons Americans are not consuming more organ-
ics, according to the survey, include availability (46.1 percent) and loyalty to non-
organic brands (36.7 percent).^64
Despite the lack of national organic standards before 2002, sales of organic prod-
ucts have increased on average by 20 percent annually since 1990. Medium-term
growth forecasts for U.S. organic markets is in the range of 20 to 30 percent.^65
Experts predict that the organic industry’s share of the U.S. food market is expected
to grow from about 2 percent to roughly 3.3 percent by the end of the decade. Or-
ganic food sales in the United States are projected to reach $30.7 billion in 2007,
driven largely by double-digit growth in the meat and meat products industry. Sales
of organic meat and meat products are expected to grow from $547 million in 2002
to $3.86 billion in 2007.^66104 | Pesticides