The global market for organic products (food and beverages) has demonstrated sustained growth over the past two decades. This is revealed in the report The World of Organic Agriculture. Statistics & Emerging Trends 2024, prepared by FiBL and IFOAM – Organics International. In 2022, global retail sales reached €134.8 billion, a significant increase compared to €15.1 billion in 2000. In terms of land area, organic farming expanded to over 96 million hectares (mainly driven by growth in Australia), and the number of farmers increased by more than 20%, reaching 4.5 million producers.
Over these two decades, there has been growing interest in more sustainable farming practices, spurred by consumer preferences for healthier foods. The COVID-19 pandemic acted as a catalyst, but once the “storm” passed, the sector experienced slower growth and even stagnation or declines in demand in some European countries. The reasons are varied and significant: factors such as the war in Ukraine, inflation, and reduced consumer purchasing power. In this context, many stakeholders (farmers, researchers, etc.) have turned their attention to Africa, where countries like Uganda and Tanzania are beginning to adopt organic policies.
China: A growing organic leader
In 2022, the leading organic markets in sales were the United States, with €58.6 billion (43% of the global total), followed by the European Union, with €45.1 billion (34%), and China, with €12.4 billion, representing 9.2% of the global market. China stands out as a special case in the expansion of organic agriculture, having become one of the three largest organic markets worldwide.
China ranks as the fourth-largest country globally in both land area dedicated to organic agriculture and market size. With over 2.9 million hectares of organic farmland, it is a major player alongside giants like Australia and India. The growth of the organic market in China has been driven by changing consumer preferences, where organic foods are perceived as safe, healthy, and high-quality. Additionally, government support has played a key role through economic incentives and sustainability policies.
However, not everything glitters. Despite these advances, the Chinese organic sector faces significant challenges, such as ensuring certification integrity and increasing consumer education about the benefits of organic products. Furthermore, expanding organic farming areas is constrained by competition from more intensive conventional farming practices.
Europe losing momentum
The European Commission has set a target of achieving 25% organic farmland by 2030. However, as highlighted in the FiBL and IFOAM report, stronger growth would be needed to meet this goal, as only 10.4% was achieved in 2022.
Additionally, several countries have experienced declines in organic sales due to rising food prices and changing consumer preferences, leading to stagnation in retail sales. In 2022, these sales amounted to €53.1 billion in Europe (€45.1 billion in the EU), a 2.2% decrease from the previous year (-2.8% in the EU).
Germany led the market with €15.3 billion, followed by France (€12.1 billion) and Switzerland (€3.9 billion).
The highest growth in 2021/2022 was recorded in Estonia (6.0%), the Netherlands (4.4%), and Austria (4.1%).
In per capita consumption, Europeans spent an average of €64 in 2022 (€102 in the EU). Switzerland led with €437, followed by Denmark (€365) and Austria (€274).
The german case
According to the BÖLW Branchenreport 2024, organic food and beverage sales in Germany reached €16 billion in 2023, a 5% increase compared to 2022. This growth was driven by higher prices and stable sales volumes, solidifying the organic sector as a key pillar of the German food market.
67% of these sales occurred through retail channels, with supermarkets and discounters playing a prominent role, accounting for 30% of the total. Discounters, in particular, grew by 7.2% thanks to competitive pricing strategies, improved accessibility, and an expanded product range. Notably, organic products experienced an average price increase of 5%, lower than the 9% recorded for conventional foods.
The BÖLW report highlights that, in an inflationary economic context, German consumers shifted their purchases toward private labels and more affordable options. Among key products, fruits and vegetables remained a central category. This trend underscores the strategic role of discounters in driving growth and accessibility for organic products in Germany.
