Why organic products are expensive

Conventional products are too cheap, because they do not include social, environmental and other expenses. Actually, the customer pays for conventional food three times: the first time at the cash desk in the store, the second time by means of taxation (in order to finance agricultural incentives) and the third time when the pollution caused by intensive farming is being removed.

The price of organic food includes not only the costs of production, but also various other items which are not included in the price of conventional food, such as: environmental protection (avoidance of future costs of mitigating pollution), higher standards of animal welfare, avoidance of health risks due to inappropriate handling of pesticides (and possible related medical costs), rural development through the creation of new jobs and providing a fair and sufficient income to producers.

Organic production is not supported by numerous incentives in the way that conventional agriculture is. The government does not invest enough (proportionately to the share in production) into research in the field of organic agriculture, education or an adequate ecological consulting service.

Organic producers respect nature and her laws, more so than their conventional counterparts, and it is natural that they should be rewarded for that. Moreover, they must have greater knowledge and readiness to take risks.

Organic products have a higher quality and are healthier than conventional ones.

The supply of organic food is still limited in relation to demand. The costs of production of organic food are, as a rule, higher because of the greater human labour. Relatively small quantities of organic products result in higher costs due to their mandatory separation from conventional products, especially during processing and transport.

As the demand for organic food grows, the costs of its production, processing, distribution and marketing will decrease. Also, the price of organic products will be less when society gives the same kind of support to organic production as it gives to conventional production.

Source: www.ecologica.hr