Organic food market feels price pressures

Published: April 18, 2008 at 1:09 PM

NEW YORK, April 18 (UPI) -- Rising prices are putting the squeeze on both sides of the organic food market -- prices of items and production costs, various sources said.

"It's probably the most dynamic and volatile time I've seen in 25 years," Gary Hirshberg, chief executive of organic dairy producer Stonyfield Farm, told The New York Times.

"It's extremely difficult to predict where it's going," he said.

At the store, prices of organic milk have risen to $6 a gallon, while a dozen Eggland Best Organic eggs fetch $4.59 to $4.99, up from $3.79 to $4.29 in 2007, the Times reported.

"We have to be very careful about not pricing organics out of the market," said Perry Abbenante, grocery coordinator for organic retailer Whole Foods Market.

Some organic farmers, caught by the rising prices of fuel and organic feeds, have given up on organic and returned to conventional practices.

Former organic dairy farmer Doug Hartkopf from Albion, Me., said organic feed costs jumped from $3,000 a month to $7,000 a month, forcing a return to the non-organic market. "It was something we had to do," he said.

© 2008 United Press International, Inc. All Rights Reserved.
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