Why could the organic sector benefit from the economic consequences of the war in Ukraine?

Maud Descamps 2:09 p.m., May 02, 2022

The war in Ukraine has an impact on the French food industry.

Fertilizers and other raw materials from Russian and Ukrainian soils drive up prices.

There could be a windfall effect for the organic sector, because organic fruit and vegetable producers are less dependent on products imported from Eastern Europe. 

Dependence of conventional agriculture on imported products

This is in any case the thesis defended by organic producers in the Ukrainian crisis, highlighting the dependence of conventional agriculture on imported products, therefore fertilizers.

While organic production is not impacted.

Inflation will affect organic farming less.

"Inflation is now higher on non-organic products than on organic products. The nature of the fertilizers used for organic farming consumes much less energy. This explains the fact that they are less inflationary" , explains at the microphone of Europe 1 the specialist in consumption Emilie Maillard.

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Find new customers

Organic producers are betting on rising prices for non-organic fruit and vegetables to find new customers.

"We do not really know tomorrow what the consumer will do in his act of purchase. Perhaps in the end, he will favor the organic product over the deficit of the conventional product, at the same price", affirms on Europe 1 Loïc Madeline, the secretary National Federation of Organic Agriculture. 

Nevertheless, sales of organic products excluding fruit and vegetables have been on the decline since the start of the year: minus 4% in January 2022 compared to January 2021. With consumers turning more to brands.