Digging deeper into organics: trends and consumer demand
From gut health to greenhouse gases, Canadians are thinking more critically about what they eat—and the organic market is reaping the benefits.
According to the Canadian Organic Trade Association (COTA), Canada’s organic food market reached $9 billion by the end of 2023—up 11% since 2020. Fresh organic produce and dairy are among the top-selling categories and continue to thrive despite inflationary pressures.
“The economic climate has led to more cautious spending, but not a wholesale retreat from organic,” says Tia Loftsgard, executive director of COTA. “Despite inflation, many consumers continue to prioritize organic for health, environmental and ethical reasons.”
Read: Organics market: Latest snapshot highlights growth and challenges
THE LONG GAME FOR HEALTH AND WELLNESS
Health is a growing driver for organic purchases, especially as more Canadians view food as medicine, notes Loftsgard. “Consumers are making the connection between a healthy microbiome and avoiding foods with dyes, preservatives, synthetic chemicals and genetically engineered ingredients or seeds,” she says. “This awareness is fuelling demand for fresh organic foods that are nutrient-dense, minimally processed and sustainably produced.”
Retailers such as Pomme NaturalMarket, which has stores in Port Coquitlam and Nanaimo, B.C., are observing this trend first-hand. “We have seen a meaningful shift in demand for clean, organic food choices as more consumers begin to recognize the connection between food and long-term health, particularly with respect to reducing inflammation, supporting gut health and boosting immunity,” says Jennifer Stanoffsky, the retailer’s regional manager and HR manager.
This health-first approach carries through to fresh dairy. Research from the Lactalis brand Olympic, which makes organic yogurt, shows “natural source” is a key attribute for consumers, notes senior brand manager Christine Comeau-Friset. “There’s a lot of trust in certification, so having that certified organic status is important for consumers and lends legitimacy to the claims.”
Overall, there’s a growing knowledge about what’s healthy to eat, says Ran Goel, CEO of online grocer Mama Earth Organics. “People are starting to ask about the nutrient density of produce, and a lot of studies show organics are more nutrient-dense … because the soil is more alive,” he says. “That would have been a very esoteric point 10 years ago, but more and more people know about it now.”
Read: Winning in the new age of health and wellness
RAISING THE SUSTAINABILITY BAR
Doing right by Mother Earth has long been a driver of the organic movement, but today, sustainability concerns extend beyond the basics. “Customers value transparency, not just in ingredients, but in how food is grown, packaged and transported,” says Pomme’s Stanoffsky.
That mindset carries into animal products, too. “Many customers look for pasture-raised, grass-fed and third-party humane options for meat and dairy products, largely driven by a desire to support both environmental sustainability and animal welfare,” says Stanoffsky.
Olympic goes the extra mile with its grass-fed cows, which have a diet composed of 75% forage rather than a diet based on corn and soy. “That further differentiation we have with our brand is something we truly believe in, since animal welfare is one of the company’s priorities,” says Comeau-Friset.
LOCAL TAKES THE LEAD
Many organic shoppers are drawn to local sourcing to support their communities and reduce environmental impact. Though local, seasonal items can sometimes cost more, Stanoffsky says Pomme strives to keep pricing fair while supporting local farmers. “Our customers recognize the value of supporting partners, exceptional freshness, a lighter environmental footprint and direct investment in the local economy,” she says.
Read: Three ways grocers can make local produce shine this summer
Goel says the biggest shift in local has been the rise of hydroponic greens, which many consumers view as “organic equivalent”—even if they’re not certified organic—as they’re typically grown without synthetic pesticides. “For local demand to be sustained, you need to have a good product that’s available most of the year at a good price—and hydroponics hit the sweet spot for a lot of customers.”
This article was first published in Canadian Grocer's August 2025 issue.