August 21, 2003

The Australian Government is providing more than $60,000 for a study designed to boost the growth of Australia's organic agriculture industry, the Parliamentary Secretary for Agriculture, Fisheries and Forestry, Senator Judith Troeth, announced today.

Senator Troeth said organic produce is a small industry set for expansion in Australia, with 2,000 certified producers - including growers, processors and manufacturers, exporters and retailers.

"The Australian Government is funding a nationwide survey of the organics industry to gather information needed to develop the tools to support its growth, such as a strategic plan and marketing strategy," she said.

"Accurate and current information on our organic production and consumption is not readily available, which is an issue for the whole of Australia's organic industry."

Retail sales of organic produce in Australia are estimated to have increased from $28 million in 1990 to nearly $200 million in 2003, with global sales increasing from $16 billion to $50 billion during the same period.

"However, if this promising industry is to continue to grow and reach its full potential, it needs to undertake strategic development activities at the national level," Senator Troeth said.

"The project announced today will collect the latest information on organic production, consumption, sales, promotional activities, prices, imports and exports. This will help the industry members to identify opportunities in the market, which products are worth producing and those that are in oversupply."

Senator Troeth said the project was initiated by the peak industry body - Organic Federation of Australia - and will be conducted by one of the co-authors of a recent study into the European market for organic food.

"This project will be headed by Dr Darren Halpin from the Centre for Social Research at WA's Edith Cowan University, with support from the Department of Agriculture, Fisheries and Forestry," the Senator said.

"Dr Halpin has an impressive track record, having previously worked for the Research Institute of Organic Agriculture in Switzerland, and with the University of Applied Sciences in Neubrandenburg, Germany, studying Europe's organic markets," Senator Troeth said. "He was one of the co-authors of a recent book detailing the findings of that study, Analysis of the European Market for Organic Food.

"Whole-of-industry support will ensure the project develops as precise a picture as is possible of Australia's organic industry," Senator Troeth said. "I encourage all members of Australia's organic produce industry to assist Dr Halpin on this important project."