Organic Food Industry Post Covid-19
The wrath of covid-19 continues to spread thereby impacting millions of lives around the world. While on the personal front people are struggling to adapt to the ‘New Normal’, various businesses too have witnessed a downfall like never before. Accepting and acclimatizing to the current situation, these business groups are drafting newer strategies that can enable them to cope with the unfavorable covid era.
Though the pandemic has affected various business sectors, organic food industry too has joined the league of industries that have witnessed the negative effects of covid-19. As the organic industry stands out to be extremely promising, some companies in the sector are taking initiatives and drawing strategies in order to gain normalcy amid prevailing covid situation. As per an ASSOCHAM study, the Indian Organic market stood at over Rs 1,200 crore last year and this year the market is expected to cross Rs 2,000 crore. It would be fascinating to see how the industry changes and prepares itself for the post covid era.
Changing Consumer Behavior- Fighting Corona with Organic Food
The consumers around the world had already started to show an inclination
As the world is aware that the effect of covid-19, the virus that still doesn’t have any clinical medicine, can be tackled with healthy nutritious organic food diet, the consumers now prefer to enhance their immunity naturally. According to Organic Trade Association, Americans are buying an increasing number of organic products with sales climbing 6.3% to $2.5 billion during 2018.
Need to Build Better Supply Chain and E-Commerce Industry
As the lockdown impacted the supply of goods and item, many organic produces were refrained from being delivered to the end consumers. Today, though the demand for organic food is expected to rise, lack of e-commerce platform and weak supply chain can hinder the growth of the industry.
Due to the global pandemic, there has been change in the shopping behavior of the patrons. Consumers are now intent to avoid crowded stores and markets which can lead to high adoption of e-commerce in India. The online grocery stores and food shopping websites have been overwhelmed with orders since the lockdown started in the country. Such patterns will further push the demand of the organic products thereby leading to the need of building a strong e-commerce channel in the country. The rising need to building e-commerce channels and supply chains will lead to formulation of newer and easier policies that can help smooth flow of goods.
In order to ensure seamless transportation of organic produce, it will be a prerequisite to develop a supply chain that could help deliver organic food at the consumers’ doorsteps.
More Players to Join the League
As stated, the market is expected to see a surge owing to changing consumer behavior and better supply channels. With the flawless system in place, the industry is sure to attract more budding players who will help the industry to meet the growing demands of the consumers in the country and beyond.