Photo Credit: Department of Forest Resources and Agrifoods
Crisp, quality produce grown locally.

 

A Growing Industry
Agrifoods

Farm cash receipts increased by 8.9% during the first six months of the year reaching $37.3 million. Growth was broadly based with farmers reporting increased sales of dairy products, poultry, floriculture and nursery products, and fruits and vegetables.

Dairy products, poultry, and egg production have traditionally been the mainstays of the agrifoods industry. However, the industry has been adding value to its output at both the secondary processing level, through the development of new local products such as wines, frozen foods, jams, and at the primary level, through the cultivation of organic vegetables.

Organic Farming
A significant niche market for organic produce has arisen throughout the developed world in recent years due to increasing consumer concerns about the adverse health effects of chemical fertilizers and pesticides as well as the fear of potential negative effects of genetically altered produce. For example, in a large market like the United States, the consumption of organic products is estimated to be growing between 20-30% per year. In Newfoundland, there are several small entrepreneurs breaking the trail into the emerging organic food market.

One essential prerequisite for success in the organic produce market is a high level of consumer confidence in product quality. To this end, certification bodies have been developed that monitor produce quality and give their stamp of approval to farms that meet certain required standards. At present, there are six organic farmers in the Province and two others that are currently going through the certification process; this normally takes about three years. The primary feature of organic farming is a ‘natural’ growing process. For example, certified farmers are prohibited from using genetically modified organisms; synthetic chemical fertilizers and pesticides; and synthetic growth promoters for livestock.  

Organic farms in the Province produce a wide variety of crops including potatoes, turnip, carrots, onions, lettuce, cauliflower, tomatoes, blueberries, strawberries and others. One local company specializes in the production of organic compost and another in the production of organic nutraceuticals (i.e., food products which provide health benefits).

A recent study by the Canadian Farm Business Management Council indicates that Atlantic Canada has a comparative advantage in organic foods due to environmental considerations and the proximity to established U.S. markets. The study found that both local and external demand for organic produce is presently much greater than its supply. Local organic farming is currently in its infancy, however, the industry is moving to capture more of its potential.

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