AN INDUSTRY that was once the domain of hippies and counter-culture types has topped a new list that tries to predict the top growth industries for this financial year.
Research group IBISWorld's annual roll of the high flyers concluded that the total revenue growth of organic farming would jump 15.1 per cent to $450 million in 2010-11 because of a wider range of organic produce and greater awareness of environmental sustainability.
Higher disposable incomes will also lift growth, as organic products are often more expensive than non-organic competitors, The Australian Financial Review reports.
The organic farming industry makes up less than 1 per cent of the total value of grains, meat, horticulture and dairy production.
But as big businesses such as Coles – it has a private-label organic brand – invest in this sector, more consumers will become aware of it. Successful marketing and distribution will be a challenge for smaller businesses.
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