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Organic grows

November 19, 2007

At the East Lansing Food Co-op, 4960 Northwind Drive, all of the fruits and vegetables are bought and grown locally. The store sells a variety of fruits, such as D’Anjou pears, pomegranates, Bartlett pears and grapefruits.

For Stephanie Schlessman, food is political. Buying pricier local, organic food means more than fresher, tastier apples, the psychology junior said. Because suppliers have to travel shorter distances to stores, buying local also means fewer greenhouse gas emissions.

“I believe in each individual’s ability to impact the environment,” Schlessman said. “I try not to think about the cost in terms of money; I think about cost in terms of the environment.”

Schlessman isn’t alone in her quest for organic nourishment. Organic food sales have grown by 132 percent since 2002, according to Mintel, a consumer, media and market research firm. Today, organic food and beverage sales total $6 billion annually, with nearly a third of adults purchasing the products as often as possible.

The U.S. Department of Agriculture defines organic as food produced without using synthetic fertilizers and pesticides, bioengineering and radiation.

The rise of the organic-food industry is on full display among many leading supermarket chains including Kroger and Meijer, both of which have launched their own brand of organic products, according to Mintel’s report.

Green appeal

R. Dale Wilson, a marketing and supply chain management professor, said organic food sales have grown because society is growing increasingly concerned with health and the environment.

Those concerns include how pesticides used on produce affect the food and the environment, and whether hormones used to boost the amount of milk cattle produce is humane, Wilson said.

In turn, businesses that produce organic products are targeting that segment of the population, Wilson said.

“Most businesses want to look good in the eye of their customers,” he said. “A lot of businesses are trying to be healthy and reduce their impact on the environment.”

On average, the products cost up to 20 percent more than conventional items, Wilson said.

In some instances, the high price tag deters low-income consumers, Wilson said. But other factors, including education, also affect sales.

College towns, for example, are prime locations for stores and restaurants to sell all natural foods, Wilson said.

“In a town like East Lansing, there are many people who can afford the products,” he said. “You’ve got a lot of young people who are educated and upper-class.”

Bruce Haskell, associate director of University Housing, said some local and organic produce is served at cafeterias in Landon Hall and Brody Complex.

Most students, however, don’t seem very concerned with having the food available, Haskell said.

“The majority of students aren’t that knowledgeable about organic food or don’t care,” Haskell said.

But because of the economic and environmental benefits of local and organic food, the University is seeking to increase its supply, he said.

That can be difficult, given that organic food typically costs MSU two to three times more than conventional food, some foods the cafeteria serves aren’t grown locally and few local, organic food suppliers can supply MSU with enough.

“We still have to be good stewards of the students’ money,” Haskell said. “If students tell us organics are something they place high value on, we will look harder for the products.”

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Public image

Some businesses, however, can afford to keep organic food prices low, Wilson said. For those businesses, organic foods help boost public image.

Chipotle Mexican Grill, for example, serves naturally raised chicken and pork as part of its food with integrity campaign. Chipotle representatives said the meat is free of antibiotics and growth hormones, and is supplied by a small chain of Midwestern farms.

Krista Rowland, general manager of Chipotle, said the store supports buying meat from local farmers.

“It’s kind of like the manifesto for our company,” Rowland said. “Customers are more conscious and aware of what they personally do can impact what goes on in the long run.”

While Matthew Moose enjoys knowing that his food came from local farmers, he wouldn’t pay more if Chipotle had to raise prices to continue supplying the meat.

“It’s definitely price sensitive,” the hospitality senior said. “When you’re in college you don’t have a whole lot of money.”

Building a market

To Mike Hamm, an MSU agriculture professor, the rising demand for organic products opens doors for small- and medium-size Michigan farms.

According to the U.S. Department of Agriculture’s 2002 Census of Agriculture, 283 farms in Michigan were producing certified organic products. Nationwide, 11,998 farms were producing the products.

Small- and medium-size farms face barriers to the organic market, including finding access to processing plants and storage facilities, Hamm said. Lack of access often requires farmers to ship their products to facilities in surrounding states, a price many can’t afford.

“That’s one of the biggest impediments in Michigan and the nation to small- and medium-sized farmers,” Hamm said.

Hamm, however, is working to solve that problem. With the help of a $3.5-million grant, Hamm is working to establish a local market for naturally raised produce and meat.

Healthier?

Ruth Kava, director of nutrition at the American Council on Science and Health, said there isn’t any evidence organic products are healthier than other products.

“There’s a lot of enthusiastic marketing going on out there,” Kava said. “I have a problem with the marketing that says there’s a real health benefit.”

While the health benefit of organic and naturally raised food is debatable, Dave Finet, general manager of the East Lansing Food Co-op, said locally grown organic and natural food tastes better than food that has been shipped across the country.

When foods are fresh, the amount of nutrients in the food is highest, Finet said. Foods that have been shipped across the country often lose nutrients.

“(Would I rather) buy an apple grown in Michigan or in New Zealand?” Finet said. “Local is the new organic.”

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