State of Organic Produce Report Shows What Categories Are Hot and Not
February 23, 2023 The performance of individual organic produce categories ranged widely last year, according to the “State of Organic Produce 2022,” a report released by the Organic Produce Network.
The 72-page report provides an overall view of organic produce retail performance in 2022 as well as specific insights into the top 20 organic produce categories.
While total organic produce sales increased by 3% and volume decreased by −3.7% year over year, the performance of the top 20 categories was quite variable as inflation and other pressures created a dynamic market environment.
The best performers in terms of year-over-year sales increases were onions (15.4%), cucumbers (11.3%), and potatoes (10.7%), while the worst performers were lettuce (−3.1%), celery (−2.3%), and bell peppers (−2.1%).
On the volume side, the best-performing organic commodities year over year were grapes (6.9%), herbs and spices (6.5%), and cucumbers (2.7%), while the weakest were lettuce (−12.7%), avocados (−11.4%), and apples (−10.3%).
The three bottom year-over-year volume performers all had significant contributing factors beyond inflation. Lettuce suffered aphid pressure in the desert due to warmer temperatures in Q1 and Q2 and was later dealt a devastating blow by INSV (impatiens necrotic spot virus) in the Salinas Valley in the fall/early winter; avocados had a lower-than-normal volume out of Mexico in the first half of the year; and apple supply was impacted by a very small Washington crop.
Two categories that bucked the organic produce sector’s overall trend of increased sales and decreased volume were fresh herbs and spices and grapes. Both categories posted year-over-year increases in sales and volume, with organic herbs and spices showing gains of 4.1% and 6.5%, respectively, and organic grapes showing respective gains of 8.3% and 6.9%. In short, last year’s highly inflationary environment wasn’t able to keep these two categories down.
When it came to the top spot by total retail sales, berries took the lead in 2022, edging out packaged salads ever so slightly with $1.561 billion in sales (packaged salad sales totaled $1.556 billion).
Graphic courtesy of Organic Produce Network
One data set that gives a very interesting look into organic produce performance are the price premiums commanded by various organic categories over their conventional counterparts. Of the categories analyzed, organic cucumbers took the lead in price premium percentage in 2022, selling for an average of 138% more per pound than conventional cucumbers. Celery, on the other hand, had one of the lowest premiums at 22% (dropping from 32% in 2021). Apparently, consumers were willing to pay a pretty penny for an organic cucumber compared to a conventional one—but organic celery did not enjoy a similar elevated status.
For more details, the entire “State of Organic Produce 2022” report can be found by clicking here.
Subscribe Today For
