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Why Are Certified Organic Products More Expensive Than Conventional Products

Why Are Certified Organic Products More Expensive Than Conventional Products
Certified organic products are generally more expensive than conventional products.  Prices for organic has been declining over the years, and the gap between conventional food and organic food is getting smaller. However on a whole, certified organic product are generally more expensive.
 

9 Reasons Why Organic Food Costs More

Adapted from organicfood.com.au

  1. Due to farmers employing the method of crop rotation,  they’re unable to produce the larger quantities of crops that are most cost-effective for conventional farmers as this method reduces the frequency in which organic farmers can grow profitable crops. Crop rotation is beneficial to the soil as it adds nitrogen to the soil which benefits succeeding crops;
  2. Conventional farmers use all of those chemicals and synthetic pesticides because they end up reducing the cost of production by getting the job done faster and more efficiently. Organic farmers do not use chemicals and synthetic pesticides.  They therefore have to hire more workers for tasks like hand-weeding, clean up of polluted water, and the remediation of pesticide contamination.  This increases labour time and therefore production costs;
  3. Organic food is limited compared to that of conventional food;
  4. Supply and demand for organic food is relatively lower than that of conventional food. As demand for organic food increases, the costs of production, processing, distribution and marketing will decrease, therefore decreasing the cost for the consumer;
  5. Higher standards for animal welfare;
  6. Organic Farmers keep their crops natural and use compost and animal manure, which is more expensive to ship;
  7. Organic crops, however, are handled and shipped in smaller quantities since organic farms tend to produce less, and this results in higher costs. Additionally, organic farms are usually located farther from major cities, increasing the shipping cost;
  8. Acquiring organic certification can be expensive and organic farmers must pay an annual inspection/certification fee;
  9. Organic crops take longer to grow as they don't employ the use of growth hormones and their crops are not genetically modified.
The Organic Farming Research Foundation explains it well: "The organic price tag more closely reflects the true cost of growing the food: substituting labour and intensive management for chemicals, the health and environmental costs of which are borne by society."


References:
    http://www.organicfood.com.au/content_common/pg-thereasonsorganicfoodismoreexpensive.seo
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Topic: Nutrition