Market Trends of north america biocontrol agents Industry
Organic produce demand grows in major countries like the United States, increasing cultivation area with government support
- The area under organic cultivation of crops in North America was recorded at 1.5 million hectares in 2021, according to the data provided by FibL statistics. The organic area in the region increased by 13.5% during the historical period (2017-2022). Among the North American countries, the United States was dominant, with 623.0 thousand hectares of agricultural land under organic farming, with California, Maine, and New York being the major states practicing agriculture.
- The United States is followed by Mexico, with 531.1 thousand hectares of area under organic farming in 2021. Mexico is among the top 20 organic food producers in the world. Mexico is the largest exporter of organic coffee in the world, according to Global Coffee Masters data. The country has the largest area under organic coffee production and even in terms of the number of organic coffee producers in the country.
- The major organic food-producing states in the country include Chiapas, Oaxaca, Michoacán, Chihuahua, and Guerrero, which accounted for 80.0% of the total organic area in the country in 2021. Organizations such as National Association for Organic Agriculture promote organic agriculture in the country, which is expected to motivate more farmers to take up organic agriculture. In addition to financial assistance, the Mexican government supports research and development activities to help promote organic agriculture.
- Canada's area under organic crop cultivation increased from 4.0 lakh hectares in 2017 to 4.5 lakh hectares in 2021. Row crops occupied the maximum area with 4.2 lakh hectares in 2021. The Canadian government announced a sum of USD 297,330 in 2021 as Organic Development Fund to support organic farmers. These initiatives are expected to increase the organic area in the region.
Growing demand for organic produce in domestic and international markets, rise in per capita spending on organic food
- North America's average per capita spending on organic food products was USD 109.7 in 2021. The per capita spending in the United States is the highest among the North American countries, with average spending of USD 186.7 in 2021. The sales of organic products in the United States crossed USD 63.00 billion in 2021. Organic Tarde Association accounted for a 2.0% increase over the previous year, with organic food sales at USD 57.5 billion in 2021. Organic fruits and vegetables accounted for 15.0% of the total organic product sales, valued at USD 21.0 billion in 2021.
- Organic food sales in Canada reached a value of USD 8.10 billion in 2020, as per the data reported by the Organic Federation of Canada. It is reported that Canada is the 6th largest market in the world for Organic products, with the supply of organic products failing to keep up with the demand in the country. The average spending on organic food per person was USD 142.6 in 2021. Increasing government support to retailers is expected to increase the availability, accessibility, and affordability of organic products in the country. Organic Tarde Association estimated the organic products market in Canada to grow and register a CAGR of 6.3% between 2021 and 2026.
- In 2021, Mexico registered a market size of USD 63.0 million for organic products with a global rank of 35. It is estimated to grow and register a CAGR of 7.2% between 2021 and 2026. However, the per capita spending on organic products in the country is less than in other countries in the region, with a value of USD 0.49 in 2021. More players entering the market in Mexico are expected to increase the demand for organic products in the country.