2009 Organic Farm Management Handbook

The eighth edition of the Organic Farm Management Handbook comes out at a challenging time. Headlines are highlighting that demand for organic food may have stopped growing, but many other sectors in the economy are suffering similar problems. It is very difficult to predict how the organic market will respond to rising food and fuel prices and the credit crunch putting pressure on household budgets and levels of disposable income. Some analysts suggest that like other premium markets, the organic market will stagnate during a recession. However, we found a more diverse picture when researching for the marketing chapter of the new edition, with both positive and negative signals. The organic market has come through previous recessions and there is no reason to expect that it will be different this time. In such a rapidly changing situation, it becomes important to use conservative estimates and sound sensitivity analyses when preparing budgets for businesses in the organic sector. In the new edition of the Handbook, each gross margin contains sensitivity analysis for a range of prices illustrating the impact of possible change. The regulations governing organic farming in Europe will change from 1st January 2009 and the likely impact for producers is considered throughout the new edition. The new regulations contain a clear statement of the objectives and principles of organic farming, bringing core ideas of organic farming into the regulatory framework such as working with farm-derived rather than external inputs. The new regulations also aim to bring greater uniformity in interpreting organic rules across Europe.