Organic food products are growing in popularity in the U.S., with the Organic Trade Association (OTA) saying 2014 sales increased 11% year-on-year to hit a record US$39.5 billion. 

Organic fruits and vegetable continued to be the biggest-selling segment, with sales outpacing the total organic category by 1%. In 2014 sales reached US$13 billion and made up more than 36% of all organic food sales.

The OTA claimed the majority of U.S. households throughout the country now made organic a part of their supermarket and retail purchases, 'from 68% to almost 80% of households in southern states, to nearly 90% on the West Coast and in New England.'

The figures are according to new market research released on Wednesday at the OTA's Annual Policy Conference.

The organization's CEO and executive director Laura Batcha welcomed the findings, praising how organics were being consumed by diverse demographics.

"On the heels of organic sales now nearing a milestone 5 percent share of the total food market, organic stakeholders have gathered in Washington to educate lawmakers and policymakers," Batcha said.

"Our latest industry data show robust demand and great opportunity for the organic sector. OTA's consumer survey has already found that organic doesn't have any demographic boundaries; this additional new data prove it doesn't have regional or partisan boundaries."

The OTA claims its Organic Industry Survey - conducted and produced by Nutrition Business Journal - is the most accurate and comprehensive quantitive picture of the U.S. industry available. More than 200 companies were said to have responded to the survey, conducted this year from Feb. 10 through April 3.

The full survey will be available in mid-May.

Also released at the conference were the results of data collected from more than 100,000 households across the country through consumer panel IRI Shopper Network of bar code items purchased at supermarkets and other retail outlets. The findings reportedly show an increasing penetration by organic into conventional channels.

The OTA also highlighted the U.S. organic sector has grown significantly since the group first began tracking performance in 1997.

In 1997, organic food sales totaled around US$3.4 billion and accounted for less than 1% of total food sales. In 2014, organic food claimed almost 5% of the total food sales in the U.S.

Of all the produce now sold in the United States, 12% of it is organic - a market share that has more than doubled in the past decade.

The organic dairy sector posted an almost 11% jump in sales in 2014 to US$5.46 billion - the biggest percentage increase for that category in six years.

Sales of organic non-food products – accounting for 8% of the total organic market – also posted the biggest percentage gain in six years, with sales of organic fiber and organic personal care products the stand-out categories.

Sales of organic non-food products also saw their biggest annual increase in six years of 14% to reach US$3.2 billion.

"In this most political of towns, it's nice to talk about something that is non-partisan, and that is today's organic market," Batcha said.

"Organic cuts across all regions, all ages, all income groups, all states whether they're red states or blue states. Organic is the face of America."

Increasing production

Complementing the growing organic sales, the number of certified organic operations in the U.S. is also on the up.

The U.S. Department of Agriculture (USDA) announced yesterday (April 15) that there were 19,474 certified organic operations in the United States, and a total of 27,814 certified organic operations around the world.

It said the number in the U.S. had grown by 5% over the last year, and since the count began in 2002, the number of domestic organic operations has increased by over 250%.

"As demand for organic products continues to soar, more and more producers are entering the organic market," Agriculture Secretary Tom Vilsack said.

"USDA tools and resources have created opportunities for organic farmers and more options for organic consumers. Growing demand for organic goods can be especially helpful to smaller family operations.

"The more diverse type of operations and the more growing market sectors we have in American agriculture, the better off our country's rural economy will be."

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