China’s Organic Foods Business Is Growing Steadily

The USDA’s Foreign Agricultural Service reports that global organic food sales more than doubled in the five years ending in 2008 to $7.2 billion from $3 billion. One of the world’s hotspots is China, where analysts forecast sales to surpass $8 billion over the next five years. Launched in 1990 with the export of organic tea, the Chinese organic foods industry now exports minimally processed or raw foods such as honey, soy powder, beans, sesame, fruit, vegetables and poultry to North America, Europe and Japan. Annual growth rate in Chinese organic exports was 30 percent from 1995 to 2006. Demand for organic food among domestic consumers in China was sparked by a spate of food safety issues. More affluent consumers are the primary buyers of organic products in the country.