The Organic Baby Food Market Is Growing Up
By Alec Italiano, contributing writer
A new study indicates nearly 3 percent growth in the U.S. organic market over the next five years and outlines its potential pitfalls
Many food producers have introduced organic food lines in recent years as a growing number of consumers are concerned with the chemicals and pesticides used to produce their food — and baby food is no exception. Organic food has always been the norm for babies as their bodies are more sensitive to additives or chemicals used in traditional food production.
A recent report from reserachandmarkets.com titled Baby Food and Formula Market in the US 2014-2018 outlines key issues within this market. The report also states the overall market is expected to grow 2.76 percent over the next five years. This is mostly due to the adoption of organic baby food by families. The increase of working mothers is also helping to drive this market. Manufacturers are facing stiff competition with one another for market share domestically as the U.S. accounts for the largest market for organic baby food/formulas in 2013.
Within the market, vendors are differentiating by expanding product lines to new flavors and variants, and in some instances creating entirely new product lines. Although an expanded portfolio is no guarantee to success in this growing market, expanding into an organic baby food line will be essential in order to stay relevant. Mothers sometimes feel like they should be eating organic food when pregnant, and feeding their newborn children with organic formula, taking money out of the equation for the perceived health benefits.
The study also outlines potential problems with this market and states that U.S. regulation is becoming stringent in the production and promotion of organic baby foods. The study states that an entirely separate set of standards are in place for the manufacturing of baby food/formula and vendor’s feet are in the fire trying to keep up. In addition to the study pointing out an increase in regulation, it also identifies other pitfalls, such as the recent decline in birth rates. However, the market is growing and companies who adapt an organic baby food line quickly enough, while keeping abiding by U.S. regulations, will be able to capture additional market share in the next five years.