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Analysis Organic

'If there is a demand for organic, the farmer will follow automatically'

21 December 2022 - Jurphaas Lugtenburg - 2 comments

Organic farming is in the spotlight in the political theatre. The European Commission aims for 25% organic agricultural area in the EU. On Monday 19 December, Minister of Agriculture Piet Adema sent his plans for the growth of the organic sector to the House of Representatives. These plans are received with mixed feelings by the sector itself.

As part of the European Green Deal, the Farm-to-Fork Strategy and Biodiversity Strategy, the European Commission has drawn up an Organic Action Plan. The Commission is aiming for 25% organic area in the EU by 2030. The Dutch action plan for the growth of organic production and consumption is slightly less ambitious. The Netherlands is aiming for 300.000 hectares or 15% of the Dutch acreage on which organic farming will take place in 2030. It will be quite a challenge to achieve that. According to figures from Statistics Netherlands, 2021% (4 hectares) of the total agricultural area will have been cultivated organically by 80.000. The action plan for organic production and consumption is therefore much more ambitious than the recently approved NSP (the national elaboration of the CAP), which aims for growth to more than 100.000 by 2027.

According to Adema, organic farming is part of the transition to sustainable and future-proof agriculture. According to the minister, growth should mainly come from dairy farming and arable farming. These are sectors with a large area and are land-bound. "Farmers will only be able and willing to switch if they also have a good revenue model from it," Adema writes in the letter to parliament. "This is related to the need to also expand the market for organic products." And that, according to various insiders from the organic sector, is the crux. In the current market, according to various traders, it is not easy to actually sell certain products as organic, so that some of them disappear into the conventional channel. Let alone what will happen if that area is more than tripled.

Market is crucial
These concerns are shared by Michaël Wilde, director of trade association Bionext. He is pleased with the arrival of the action plan, but warns that the role of the market is ultimately crucial for success. "If the market is not there, the converted farmer cannot sell his products." According to Wilde, chain parties play an important role in this. "In the action plan, the national government is setting a good example by aiming for a standard percentage of 25% organic food in tenders." Retail must also play its part. "For example, organic products should not be tucked away in a corner of the supermarket." According to Wilde, consumers want to become more aware of the price of food and the effects on the environment, for example with good information or true pricing.

According to Wilde, it is important that organic and conventional agriculture are not played off against each other, but that they reinforce each other where possible. "Agriculture faces major challenges," says Wilde. "Think, for example, of the aim to halve the use of plant protection products and to reduce the use of artificial fertilizers. Organic agriculture is not the solution to all the problems we face, but it can make a substantial contribution to it." According to Wilde, the focus should therefore not be on the hectare target in the plan, but rather on developing the sales market. "If the demand is there, farmers will follow automatically."

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Jurphaas Lugtenburg

Is editor at Boerenbusiness and focuses mainly on the arable farming sectors and the feed and energy market. Jurphaas also has an arable farm in Voorne-Putten (South Holland). Every week he presents the Market Flash Grains
Comments
2 comments
Subscriber
rick 21 December 2022
This is in response to it Boerenbusiness article:
[url = https: // www.boerenbusiness.nl/artikel/10902165/als-vraag-naar-biologisch-er-is-follows-boer-vanzelf]'If there is a demand for organic, farmers will follow automatically'[/url]
Organic onions are already entering the regular channel, while onions are a demand market that you haven't seen in 47 years
rule maker 22 December 2022
As always, may that poison of organic just continue to undermine the conventional sector, when will it stop, that this rubbish may poison the healthy market, not the good is good, but the wishful thinking
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