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Permalink Report Identifies Opportunities, Issues in Organic Agriculture

In the July/August 2012 issue of Agricultural and Resource Economics Update, the University of California Giannini Foundation of Agricultural Economics published a "Special Report: Marketing Issues and Opportunities in Organic Agriculture." The introduction to the report notes that organic agriculture is not simply a smaller version of conventional agriculture, and points out that organic price premiums allow farmers a way to diversify and increase revenue, particularly with the rapid rate of growth in the industry. The organic industry faces several unique challenges, however. For example, low adoption of organic practices by grain and hay producers restricts the expansion of organic livestock production. The report also contains segments on the EU–U.S. Organic Equivalence Agreement and an analysis of price premiums for organic strawberries. That study found that retail price premiums could not be explained as a function of farmgate price premiums. The 16-page report is available online in PDF.

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