Information
GraphicsOrganic Industry
Structure
NEW! Network Animation of Data from the 4 Processing Sector Charts

http://www.msu.edu/~howardp/OrganicIndustry.mov
Click on the link above for the QuickTime movie, which will take a minute or so to load.

Produced in collaboration with Skye Bender-deMoll, an author of SoNIA - Social Network Image Animator.
The
development of the USDA National Organic Standard in place of differing
state/regional standards was widely predicted to accelerate
trends of increasing consolidation in this sector. The first draft of
the standard was released in 1997; what changes in ownership and control
have since occurred?

Most acquisitions of organic processors occurred between December, 1997 when the draft USDA standard was released,
and its full implementation in October, 2002. Few companies identify these ownership ties on product labels.
PDF version of Organic Industry
Structure: Top 30 Acquisitions

Most introductions of organic versions of well-known brands occurred after the USDA standard was implemented in October, 2002.
Some, such as Dove Organic, have been developed specifically for Wal-Mart.

Natural food chains including Whole Foods, Trader Joe's and Wild Oats sold 23% of organic food in the US in 2005.
Whole Foods has more than 80 new stores currently in development.
PDF Version of Organic Industry Structure: Retail Acquisitions and Mergers

PDF Version of Organic Industry Structure: Whole Foods and Wild Oats
Locations

Distribution, particularly of processed organic foods, is dominated by United Natural Foods and Tree of Life. In
1982 there were 28 consumer cooperative distributors. Today there are just 3.
PDF Version of Organic Industry Structure: Distributor Acquisitions and
Mergers

The chart above is based on data from the Organic Trade Association. Sales of organic food have increased approximately
20% annually since 1990. The Organic Agriculture Centre notes similar trends in Canada and conservatively estimates
annual sales of at least C$1 billion in 2006.
After the USDA legally defined "organic," consolidation occurred most rapidly in the processing stage. The retail and
distribution stages were already highly concentrated by the late 1990s, although they are now experiencing the entry of
larger, mass market outlets and their supply chains.