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Russia Demanding More Organic Food

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Published on : Mar 30, 2015

An embargo imposed on importing foodstuffs from Europe was imposed in 2014 by Russia. This acts as an incentive for the production of organic food domestically. However, experts claim that this event also presents a potential foreign investment.

However, this embargo has deprived the market of Russia a significant amount of eco friendly products. According to the CEO of Organic Corporation, not less than 95 per cent of their organic foods were previously sourced from imports. The eco vegetables, fruits, nuts, dried goods, and dairy products were imported from Italy, Germany, Switzerland, USA, France, and Canada. Currently, only the five per cent came from the 100 per cent certified producer in Russia. Russia provides only milk and dairy products and some poultry, meat, and cereal eco products.

Since, the Russian market is worth around £10 million, the global market is around £42 billion. The organic food market began developing actively in this country in the last three years. Since then it has grown by 20 per cent. But, the demand still surpasses the supply.

Presently, the main organic foods buyers are parents that tend to buy these healthy products for their children and the well off consumers which range from the age of 22 to 45 that are health conscious.

Russia has around 40 million hectare of land which is untilled and vacant. This land has not been treated by chemical fertilizers for over 20 years and this makes it a suitable land for cultivating eco friendly vegetables, fruits, cereal crops, etc. This land can be used to attract foreign growers. In European eco market the growth is high, but the market lacks raw materials along with suitable land.

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