It is a general opinion that organic Food costs 20 to 25% more than conventional food. But, in reality organic food doesn’t always cost more. Some items, such as coffee, cereal, some of the vegetables, may cost the same or even less than their conventional counterparts. And, as the demand for organics continues to grow, the cost will continue to come down. It is worth noting some of the reasons for the present high cost:
The initial cost incurred in converting the soil to organic can be met only if the farmers can get a premium price at-least for a few years after conversion period.
The high Cost of Organic Certification is another reason for the high rates.
Organic farmers don’t receive Government subsidies like conventional farmers do. Therefore, the price of organic food reflects the true cost of growing.
The price of conventional food does not reflect the cost of environmental cleanups that we pay for through our tax bills.
Organic farming is more labor and management intensive.
Organic farms are usually smaller than conventional farms and so do not benefit from the economies of scale that larger growers get.