The "United States Organic Food Market Report by Product Type, Distribution Channel, States and Company Analysis 2024-2032" report has been added to ResearchAndMarkets.com's offering.

United States Organic Food Market size was worth US$ 59.41 Billion in 2023. It is expected to grow at a CAGR of 10.35% from 2024 to 2032. The United States organic food market is estimated to reach US$ 144.15 Billion by 2032.

The method used to create some foods is referred to as "organic." Farmers and food producers that practice organic farming cultivate and produce food without the use of synthetic chemicals like artificial fertilizers and pesticides. They also avoid exposing food to radiation or using genetically modified (GM) ingredients. Manure and other natural fertilizers are often used in organic farming to enhance plant development. Antibiotics and hormones are not administered to animals bred organically. Meat, cereals, dairy products, fruits, and vegetables are the most often purchased organic foods.

In a PLoS One study, researchers examined age, gender, incomes, and education in 279 people who used organic products. The findings indicate that people who are 41 to 50 years old, as well as those with higher incomes and levels of education, are more likely to purchase organic goods. However, purchasing decisions for organic food are not significantly influenced by gender.

Over the past 20 years, organic food consumption has increased, according to the Organic Industry Survey. Actually, in 2020, American consumers spent $56 billion on organic fruit.

Rise in Certified Organic Farms

The United States organic food market is driven by growing disposable income and an increase in certified organic farms. Customers prioritize fitness and environmental concerns as their money rises. The demand for organic products is rising as a result. Concurrently, the growth in certified farms guarantees an additional supply of organic produce.

The U.S. economy's disposable income increased by 4.2% during the 12-month period ending in the final quarter of 2023, according to a report by the Bureau of Economic Analysis. From $57,386 at the end of 2022 to $61,084 at the end of 2023, per capita income increased during the course of the year.

Availability of new Organic Food Products

The range of organic food products available is driving the growth of the US organic food industry. Producers and merchants are increasing the variety of organic products they provide in response to consumer demand for healthier and ecologically friendly options.

The market is also growing because there are so many organic alternatives available, which meet different customer needs. High-quality and innovative organic products attract new customers and support long-term organic food market growth.

Growing concern about Environmental Sustainability

The growing awareness of ethical farming methods and environmental sustainability is driving the growth of the United States organic food market. Customers choose sustainable techniques like crop rotation and natural pest management over ethical factors like animal welfare and support for locally owned, sustainable farming when selecting organic alternatives.

The National Organic Program (NOP) certification process is made easier for producers and handlers by the Organic Certification Cost Share Program (OCCSP).

Deficiency bills guarantee financial stability for manufacturers who do not need loans, whereas marketing assistance loans support organic manufacturers in maintaining cash flow during market downturns.

Customers' confidence in the organic market is fostered by the USDA's certification procedures, which ensure the outstanding quality and integrity of organic products.

The primary extramural funding source for organic agriculture research, education, and extension in the United States at the moment is the National Institute of Food and Agriculture (NIFA) of the U.S. Department of Agriculture. Applications from organic farmers are accepted for many of NIFA's competitive programs. Two of the programs, nevertheless, are only applicable to organic farming. These are the Organic Transitions (ORG) program and the Organic Agriculture Research and Extension Initiative (OREI).

Advancements in distribution and Retail Channels

The US organic food market is expanding thanks in large part to the development of retail channels such as specialty shops, supermarkets, and internet platforms. Through enhanced accessibility and awareness, these channels serve a wider range of customers. Additionally, they offer comfort and variety, which encourages more customers to learn about and buy organic products. This more comprehensive attainment and comfort factor increases revenue, attracts customers, and builds brand recognition, all of which support the market's growth.

According to the USDA, conventional grocery retailers account for 55.6% of sales of organic food in 2021, surpassing natural food stores as the most popular outlet.

California Organic Food Market

The organic food market in California is prospering as a pioneer in sustainable agriculture. This is driven by consumer demand for organic merchandise.

According to USDA NASS through CCOF, California produces forty percent of the organic commodities bought in the United States, together with 68% of the United States of America's organic vegetables.

The favorable weather of the country and various agricultural landscapes enable the manufacturing of diverse organic produce, including fruits, greens, nuts, and dairy products. A vital guide for natural farming practices and stringent organic certification requirements ensure quality and authenticity. The influential food tradition of California and fitness-conscious population also force non-stop innovation and growth in the organic food sector, making it a leading market nationwide.

Competitive Landscape

In March 2024 - Alden's Organic recently launched a new line of frozen desserts made with organic Greek yogurt. The bars come in six different flavors. The company has stated that these bars have been certified by the USDA as organic and non-GMO. Each frozen treat contains up to 3 grams of protein, has a calorie range of 80 to 100 per serving, and includes live and active probiotic cultures.

In January 2024 - Danone decided to sell its premium organic dairy divisions, Horizon Organic and Wallaby, to investment business Platinum Equity in the United States.

Key Attributes:

Company Analysis: Overview, Recent Developments, Revenue Analysis

• Danone S.A.
• General Mills Inc.
• Sprouts Farmers Market Inc.
• The Hain Celestial Group Inc.
• The Kroger Company
• United Natural Foods Inc.
• Dole Food Company Inc.
• Newman's Own

Product Type - Market breakup in 7 viewpoints

• Organic Fruits and Vegetables
• Organic Meat, Poultry and Dairy
• Organic Processed Food
• Organic Bread and Bakery
• Organic Beverages
• Organic Cereal and Food Grains
• Others

Distribution Channel - Market breakup in 5 viewpoints

• Supermarkets/ Hypermarkets
• Specialty Stores
• Convenient Stores
• Online Retail Stores
• Others

States - Market breakup of 29 States

• California
• Texas
• New York
• Florida
• Illinois
• Pennsylvania
• Ohio
• Georgia
• New Jersey
• Washington
• North Carolina
• Massachusetts
• Virginia
• Michigan
• Maryland
• Colorado
• Tennessee
• Indiana
• Arizona
• Minnesota
• Wisconsin
• Missouri
• Connecticut
• South Carolina
• Oregon
• Louisiana
• Alabama
• Kentucky
• Rest of United States

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