Ecolabelling growth to continue in 2013

The number of ecolabels in the food industry will continue to increase in 2013, but the mushrooming number of ecolabels could have adverse implications, according to Organic Monitor.

Organic products comprise the bulk of the estimated US$75 million ecolabelled food and drink market, Organic Monitor says. Most sales are from Europe and North America and have legally protected organic logos. However, many new organic labels are being introduced in Asia, Latin America and other regions.

The lack of harmonisation between these standards is leading to multiple certifications and an exponential rise in organic ecolabels. More than 84 countries have introduced national standards for organic products, with most having separate organic logos.

Once united by Fairtrade International (FLO), the global fair-trade movement is fragmenting, with a number of new fair-trade schemes being launched. Although the FLO Fair Trade mark is the most recognised, it is no longer the only identification label for certified fair-trade products.

Rainforest Alliance and UTZ Certified have well-established ecolabels for agricultural commodities such as coffee, tea and cocoa. However, new schemes are gaining popularity for such commodities, including Bird Friendly Coffee and Starbucks’ Coffee and Farmer Equity (CAFÉ) practices. Ecolabels are also becoming visible in other product categories, such as the Marine Stewardship Council for sustainable seafood and Certified Humane for meat products.

Growing consumer awareness of food production methods and sustainability issues has been responsible for the rise of ecolabels in the food industry. Organic Monitor says a concern is that the proliferating number and types of ecolabels may mean that food producers could be discouraged to adopt ecolabels because of the growing disparity between standards and multiple certification costs.

A larger concern is the effect on consumers: how can consumers distinguish between the growing number of logos and seals of organic/fair-trade products, as well as differentiate them between other ecolabels? With most ecolabels representing some ethical or sustainability attributes, a wider question is whether a new umbrella ecolabel will eventually emerge and integrate existing ones.

Organic Monitor will present its latest findings on the global market for ecolabelled food and drink at the upcoming Sustainable Foods Summit in San Francisco on 22 and 23 January 2013. The latest market data on the organic, fair trade and ecolabelled products market will be presented, as well as future growth projections.