Project title: Organic foods - Consumer awareness, safety and regulation

Scope
The objectives of this project were to study consumer perceptions and practices with regard to
organic foods, raise consumer awareness about quality and safety issues and advocate relevant
food laws and regulations for such foods. While calling for changes at the policy level by
advocacy, we attempted to sensitise the regulatory authorities to the issues of concern to
consumers and the environment.

Key findings emerging from online survey

99% respondents were aware of the term organic foods

However, only 10% bought organic foods regularly or occasionally
While 43% respondents did not buy because the products were expensive, 54% were
discouraged by the limited availability and 44% had doubts about the origin/source of
product.
Those who bought organic foods did so because they were healthy, safe to consume, ecofriendly and did not have pesticides and chemicals. Some of the respondents supported
the organic movement and local farmers. Some felt organic foods led to saving of
resources for the next generation while others felt that cultivating them preserves soil
quality.
Organic vegetables and fruits were the most popular products followed by powdered
spices.
For 82% respondents, organic certification was important but 65% were not aware about
organic standards and labels.
Between conventional and organic food products, 72% preferred organic foods while 8%
said it did not make any difference to them which category they bought.

Methodology
The first activity we conducted was an online survey. Since many consumers were not fully
aware of organic foods and their impact on health, we conducted an online survey to get an idea
about consumer perceptions and practices with regard to organic foods. The survey results
helped us draw up a strategy for consumer awareness so that we could educate consumers
further.
In the analysis of the survey results we evaluated consumer knowledge and awareness of organic
foods, attitudes about buying organic, frequency of and motives for purchasing organic foods,
reasons why consumers did not buy them and knowledge of current organic certification
processes.
We surveyed consumers online by distributing a questionnaire through Facebook and mass
mailing system. The two-page questionnaire consisted of 21 questions (Appendix I) and took 1015 minutes for the respondent to complete. A total of 108 people responded to the survey.

Demographic profile
Sixty-one per cent of the 108 respondents were in the 41-65 age group and 62% were men. Most
of the respondents were postgraduates, lived in metropolitan cities and were salaried with annual
income of more than Rs. 4 lakh.

Gender Profile

Age Group
20-40

Male

41-50

Female

51-65
Above 65

Qualification

Occupation
Under
Graduate
Graduate

Self Employed
Salaried
Housewife
Retired

Post
Graduate

Location

Student
Other

Annual Income
Metropolitan
City
Mega City
Other Urban
Area
Rural Areas

Less than Rs 2
Lakh
Rs 2 Lakh to Rs
4 Lakh
More than Rs 4
Lakh

Familiar term
Ninety-nine per cent of respondents were familiar with the term organic food. When asked to
define the term, a majority of respondents related organic to ideas of freshness, being natural,
healthy and absence of pesticides. While 68% of the respondents said it was food not sprayed
with pesticides, 77% said it was food grown using manure and without chemical fertiliser.
Thirty-seven per cent mentioned that such foods were environment friendly, 62% said they did
not have chemicals, 24% perceived them as healthy and 32% said they were natural.
Interestingly, there were respondents who considered organic foods as herbal foods (7%), foods
without antibiotics (28%) and traditional/indigenous foods (14%). This indicates that consumers
interpreted the term organic in a variety of ways and many did not have a correct understanding
of the term.

Familiar with the term 'organic food'

Yes
No

Understanding of organic foods

90.00%
80.00%
70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%

Few buyers
Surprisingly, though 99% of the respondents were familiar with organic foods, only 10%
actually bought them, whether regularly or occasionally. The main reasons for this according to
respondents were: less availability/supply (54%), costly/not affordable (43%) and origin/source
of product was not credible/trustworthy (44%). Eighteen per cent said they did not know where
to buy organic foods and there was less variety in this category, while 9% did not specify any
reason for not buying them.

Do you purchase organic food?

Yes
No

Reasons for not purchasing

60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%
No
difference

Not
No variety
Less
Origin not Dont know Indifferent
affordable
availability trusted
where to
get them

Other
reasons

Purchase behaviour
Those who bought organic food indicated the place and frequency of purchase. Around 40% of
respondents who bought organic foods go to supermarkets while only 17% purchased them
online or through mail order. Organic foods were also bought at local shops (33%), greengrocers
(33%), local market (35%), organic shops (15%) and farmers market/shop (15%). As for the
frequency of purchase, 44% of buyers purchased organic foods once a month while 6% did so
once a week. Around 38% hardly ever bought such foods. Respondents who buy organic foods
regularly had been consuming them since the last 10-12 years.
90.00%
80.00%
70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%

Regularly
Occasionally
Never

How often do you buy organic products?

50
40
30
20
10
0
Once in a week

Once in a month

Hardly ever

What they buy

Among organic products, vegetables and fruits were the most popular with 56% of buyers opting
for them. While 40% bought powdered spices (turmeric powder, chilli powder, coriander
powder, etc.), 22% bought beverages (tea, coffee) and 19% dairy products (cheese, yogurt, milk).
Other products purchased were pulses, cereals, jaggery, honey and breakfast cereals. Among the
non-food products organic toiletries, cosmetics and cleaning agents were popular.

Which organic products do you buy?

60
50
40
30
20
10
0
Produce
Spices(vegetables,
(turmeric powder,
fruits) chili powder,
Dairycoriander
Products (cheese,
powder, yogurt,
etc.)Beverages
milk) (Tea, Coffee) Other Products

Reasons for buying

Buyers of organic foods were asked why they buy them. While 47% said it was because they
were safe to consume, 46% said it was the fact that such foods were free from chemical
pesticides and fertiliser was what motivated them. Other reasons cited were that they were
healthy (40%), environment friendly (43%), saved resources for the next generation (33%)
and their purchase supported local/small farmers (53%) instead of big multinational companies.
While 30% of buyers supported the organic movement, 9% said organic foods had a positive
image and it was a fashion to consume them.

60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%

Strongly agree
Agree
Neutral
Disagree
Strongly disagree
Dont Know

Interestingly, around 41% were neutral to the appearance and taste of the foods and were only
concerned with it being organic.

Factors that would encourage buying

While some people didnt buy organic foods at all, others did so occasionally or bought only one
or two products. The factors that would encourage buying were:
(i) if they were more affordable and easily available (58%)
(ii) if the method followed in cultivating the product could be trusted (50%)
(iii) if they had recognisable label (40%)
(iv) if they were seasonal products (32%)
(v) if they were from the local region (39%)
(vi) if there was more information in the media about them (40%)
(vii) if they had more shelf life (38%)

Products people would like to buy

When consumers were asked which organic food products they would like to buy or consume,
99% of the respondents indicated fresh vegetables and 94% fruits. Eighty per cent indicated that
they would like to buy powdered spices like turmeric powder, chilli powder, cumin powder and
coriander powder. This was followed by pulses (76%), cereals (71%), milk and milk products
(69%), dry fruits and nuts (64%), oil (61%), tea and coffee (56%), herbs (57%), sugar (49%),
bread and bakery products (46%), meat and meat products (26%) and baby products (24%).

Product group(s) people would consume daily

if they were organic
120.00%
100.00%
80.00%
60.00%
40.00%
20.00%
0.00%

Eighty two per cent said organic certification was important to them but 65% were not aware
about organic standards and labels. If they were to choose between conventional and organic
food products, 72% preferred organic foods while 8% said it did not make any difference to them
which category they bought.

Awareness of the organic

standards and labels

Importance of organic
labels

Yes

Yes

No

No

Choice between two similar products

80.00%
70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%
Organic product

Locally produced
product

Make no difference to
me

What respondents had to say

Prabhakar Kotiyan felt that foods were sometimes touted to be organic in order to lure
buyers.
S. Dayal said he had to commute a long distance to procure organic vegetables.
Availability at nearby stores seems to be a critical aspect.
Samir Shirali did not buy organic as certified products were not available.
R.J. Vasavada and Archana Sabnis were not sure the manufacturing company was
authentic.
M. Jha commented that he wished organic foods were abundantly available. According to
him, their non-availability is a great stumbling block to their popularity. Besides, their
benefits too need to be properly and adequately highlighted.
While some respondents found it difficult to trust the genuineness of the product and said
standards and certification were vital, others wanted more variety and a greater range of
products. For some the high price was a deterrent, while for others lack of awareness was
a problem. Some felt the credibility of existing suppliers was not established.

(Blurbs:)
It has become a fashion to claim that a product is organic and charges exorbitantly for not using
pesticides without ensuring standards are maintained. - Dilipkumar Mehta
Three issues primarily affect consumer behaviour towards organic products: affordability,
availability and awareness. A market needs to be created and the government should help out if
funds are a problem. - Niyati Parikh Deshpande

Conclusion

Some consumers not clear about term organic

Most consumers think all organic food was sustainable and define organic as natural,
lacking pesticides, fresh and essentially good for the environment. They had
expressed interest in healthy and nutritionally rich food as well as environmental
concerns and sustainability. Interestingly, there are respondents who considered organic
food as herbal foods or foods that did not have antibiotics and some even understood
them as traditional/indigenous foods.

High Price
The major problem that inhibited people from buying organic food was the price. It was
the major barrier to increased purchasing among those who bought organic products on a
limited scale. It also prevented those who didnt buy at all from taking that first step.
Many people would purchase organic foods if they were affordable.

Availability Problem
Another major hurdle was lack of availability and doubts about origin. However,
perceptions that organic food was becoming more readily available and getting cheaper
were among the main motivating factors for those who intended to buy more.
Supermarkets/retail chains were the most preferred place for buyers. Consumers were
keen to have more organic shops in their area and to see more organic foods in the
market. Fresh vegetables and fruits were the most preferred produce.
Consumers believed that organic farming was in harmony with nature and the
environment. Many bought organic foods to support local farmers and farm workers.

Lack of Awareness of Labels

People do not seem to know much about certification (standards) and labels of organic
food products but it is an important issue for them. The government should inform
consumers about certifications and genuine labels. Also, if more organic foods can carry
an indicator of the region, sales are likely to rise. Marketers should raise awareness
among consumers about regional products to support local farmers. Moreover, labour
standards should also be included in the certification process.

Action Areas

Consumers interpreted the term organic in variety of ways. It indicates that they did not
have a correct understanding of the term. There is need to raise awareness on this issue.

As 17% respondents purchased online, there is need to monitor organic products sold
online.

Around 65% respondents were not aware of organic standards and labels. It indicates that
there is strong need for creating awareness.