What are organic foods and what are the differences between certifications in Brazil?

Organic production is a system of integrating cultural, biological and mechanical practices that promote resource cycling, ecological balance and biodiversity conservation. Thus, it is a system that prioritizes ecological techniques in search of lower environmental, social and health impacts by eliminating the use of synthetic fertilizers and pesticides, antibiotics and hormones, genetically modified seeds and breeds, preservatives, additives and irradiation. 

Organic farms generally grow a greater variety of agricultural products in a single area, seeking to optimize competition for nutrients and space between species. This, in turn, results in less chance of low production or loss of yield in all of them simultaneously. 

This type of system also allows production to be carried out in isolated and difficult-to-access areas. Small producers benefit from the process, as they increase their production by managing local resources, without depending on external inputs or food distribution systems. In this way, the returns from the organic farming market contribute to local food security, also increasing family income and keeping producers in rural areas.

The performance of organic farming in production will depend on the previous agricultural management system. For example, on irrigated land, conversion from traditional farming system to organic farming usually leads to almost identical yields, while in traditional rainfed agriculture (with few external inputs), organic farming has the potential to increase yields.

The lack of official statistics and the confidentiality of organizations that deal with organic products make it difficult to collect data on this sector. Organic agriculture represents 2% of global food sales, but changes in consumer habits and the search for healthy eating and aspects related to sustainability contribute to this market's constant expansion worldwide.

Figure 1: World – Organic farmland growth and organic share 2000-2021

Globally, the growth in organic production area between 2000-2020 was around 400%. However, this still represents only 1,6% of agricultural land. It is clear that the distribution of land destined for organic production is not uniform across the continents. The main producing region, Oceania, has a smaller number of producers and they hold larger areas. Asia and Africa, where almost 80% of organic producers are concentrated, have smaller areas. 

Table 1. Area allocated to organic production and number of organic producers in the world in 2021.

Source: FiBL, 2023

Retail sales indicate that the main consumer markets are North America (43,2%), the European Union (43,7%) and Asia (11%), signaling trade with Oceania, mainly towards the United States and Canada. The global organic market is estimated to reach US$ 497,3 billion by 2030.

Table 2. Global data: Retail sales and per capita consumption by region, 2021.

Source: FiBL (2023)

Note: Some Latin American countries have outdated data.

Brazil has 1,5 million hectares allocated to organic production. It was the 4th country behind China, France and Spain, which grew its organic land area the most in 2021, representing 12,3% (162 thousand hectares). Between 2010 and 2020, this growth was 110,2%. Data released by MAPA (Ministry of Agriculture, Livestock and Food Supply) in its National Registry of Organic Producers, which registers certified organic producers – individuals or legal entities – shows, in April 2021, 25.510 producers, distributed across all Brazilian regions. It is estimated that around 75% of producers are family farmers. Of the almost 70 thousand agricultural establishments certified for organic production, around 40 thousand are dedicated to plant production; 18 thousand to animal production and 11 thousand have organic plant and animal production. 

Brazilian organic products are concentrated in natural production and in a few processed products. The shortage of raw materials to meet this demand, as well as the lack of regularity in their delivery to the sector, indicate significant coordination problems between the links in this production chain. The high dependence and uncertainty of the industry in relation to the raw material supplier segment is a limiting factor for the development of processing in the country. 

Certifications are an important element in the organic market, since quality is not observable, that is, even after consumption it is not possible to identify the veracity of the information. Therefore, certification is an essential mechanism in the transaction process and in gaining the trust of various markets. In Brazil, there are two ways to obtain certification: through auditing or through the participatory guarantee system. 

Figure 2: Seals used on products certified as organic via audit or participatory systems 

Source: Souza, Batista and César (2019)

In audit certification, the SisOrg seal is granted by a public or private certification body accredited by MAPA. The conformity assessment body complies with internationally recognized standards, in addition to the criteria established by Brazilian legislation. Thus, this certification allows the producer to operate in the national and international markets.

The participatory guarantee system (SPG) is characterized by the collective responsibility of the members of the system (producers, consumers, technicians and other interested parties). In practice, to be legal, a SPG must have a Participatory Conformity Assessment Body (OPAC) legally constituted, which will be responsible for issuing the SisOrg. This certification allows the producer to operate in the national market.

However, the certification process represents a production bottleneck in Brazil, as there are costs for converting from the conventional system to the organic system and for certification. However, certification may become less necessary when there is a close relationship between producer and consumer, since this connection can generate the information necessary for making purchasing decisions. In this sense, a local or even regional marketing strategy can reduce such costs. In this case, the market is therefore based on trust, reducing information asymmetries.

It is worth noting that Brazilian legislation has made an exception to the requirement for certification of organic products for family farming. In this way, there is social control over direct sales through farmers registered in the National Registry of Organic Producers. In this way, this authorization allows the promotion of the sale of organic products in short marketing circuits, as is the case with street markets.

Many questions are being asked about the capacity of organic farming to provide food to solve the issue of food insecurity. It is worth noting that world hunger is not a result of issues related to the quantity of food produced, but rather to the access to this food by some communities. However, the material and empirical experiences discussed by the FAO (Food and Agriculture Organization) demonstrate that organic farming has the potential to feed the world, under the right circumstances. In Brazil, organic farming also stands out as an alternative niche for the inclusion of family farming.

References and Recommended Readings:

CÉSAR, AS; BATALHA, MO; PIMENTA, ML . Organic certification as a strategic factor in the governance of transactions in the food market. Rural and Agroindustrial Organizations (UFLA), v. 3, p. 1-10, 2008.

EMBRAPA, 2021. Research presents a global overview of organic food production in countries on five continents.

FAO. Organic Agriculture.

FiBL.

MAPA, 2020 What are Organic Products?

MAPA, 2023. Organic Producers Registry.

PIRES, VWB; A, BATISTA, AP, SOUZA, RP de CÉSAR, AS Coordination in the organic production chain: analysis of transactions between industry, suppliers and buyers in Brazil. Agroalimentaria. 2017. 23(45): 175-189.

SOUZA, R. P de, BATISTA, AP, CÉSAR A. da S. Trends in Organic Certification in Brazil. Trends in Organic Certification in Brazil. Studies Society and Agriculture, v. 27, n. 1, p. 95-117, Feb. 2019.

SEBRAE, 2022. Organic market: projections and trends.

SEBRAE, 2023. Organic products, an expanding market.

USDA. Organic Production.

CÉSAR, AS; BATALHA, MO; PIMENTA, ML (2008). Organic certification as a strategic factor in the governance of transactions in the food market.

PIRES, VWB; A, BATISTA, AP, SOUZA, RP de CÉSAR, AS (2017) Coordination in the organic production chain: analysis of transactions between industry, suppliers and buyers in Brazil.

SOUZA, R. P de, BATISTA, AP, CÉSAR A. da S. (2019). Trends in Organic Certification in Brazil. Trends in Organic Certification in Brazil. 

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