The global trend towards healthy and eco-friendly lifestyles is driving demand for organic products

Health and environmental authorities around the world are emphasizing the importance of consuming products produced according to the principles of a “green” economy. These products not only provide high-quality nutrition, but also have a minimal impact on the environment.

Organic products have not yet become widespread in Russia. The main obstacles are insufficient consumer awareness, relatively high prices and pseudo-labeling that misleads buyers. Many consumers confuse organic products with farm products and rarely ask for certificates when buying, which reduces trust in this category of products.

The session within the framework of the Retail Academy program at the WorldFood Moscow 2024 exhibition was aimed at discussing ways to solve these problems and opportunities for the development of the Russian organic market. The main focus was on improving public awareness, increasing trust in certification and supporting organic producers.

Over the past five years, the number of Russian organic producers has increased 10-fold! At the moment, there are already 218 of them. The range has also expanded: if earlier it was only raw materials, grains, now it is vegetables, milk, cheeses, honey, and drinks, including organic wine.

In Russia, there is a fund aimed at supporting organic producers — the Organica Fund . Its director, Vyacheslav Fedyunin, presented the projects currently being implemented by the Fund.

To activate consumer demand:

// Competition among schoolchildren with participation of 17 regions of Russia
// Project "Organics in Schools"
// Publication of the book "Organic Farming in Russia: How Enthusiasts Created a Market"

Development of distribution channels:

// Participation in exhibitions
// Culinary master classes
// Organizing festivals

Manufacturer support:

// Compensation for the cost of certification
// Internships in Russia and abroad
// Grant competition

Sergey Korshunov, Chairman of the Board of the Union of Organic Farming , spoke about what is holding back the development of organic farming.

The Organic Farming Union is the largest independent movement for organic agriculture, uniting more than 350 market participants.

The main challenge for the market is actually common to all agriculture - the lack of a fair price when the cost of production is more expensive than the product that is produced.

Challenges of the current situation:

// The state task is to increase volumes, maintain cost price and sales price
// High rate - low investment activity
// Export duty - reduction of crop production margins
// Transaction costs - reduction in export volumes

The producers' point of view was presented by the pioneering company on the Russian organic market, EkoNiva , and specifically by the head of its GR service, Lyubov Aksenova.

"EkoNiva" is a Russian producer of organic products with two certificates. Today in Russia there are only three companies that produce organic milk certified by the EuroLeaf and Organic marks.

In addition to the challenges of consumers recognizing the correct product labels, Lyubov noted that it is important to educate consumers about the benefits and differences of organic products.

The main differences between organic products:

// Contribution to the environment
// Additional health benefits

All participants in the chain must invest in the development and promotion of the category; retail must also expand the organic shelf and make this product more accessible and understandable.

Another important task for the market is the development of exports and recognition of Russian certificates abroad. Currently, Roskachestvo certificates are recognized by Qatar, and this is sufficient grounds for starting supplies of organic products to this market. Negotiations are currently underway with regions such as Malaysia, Indonesia, Saudi Arabia, and the UAE.

Changes are also taking place in imports. If previously goods were supplied without undergoing Russian certification, now 19 manufacturers supply their products to the Russian market with Russian certificates.

At the same time, it is important to understand that Russian products are not yet capable of replenishing the volume of imported products that have left the market.

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