Organic Market Growth in Czech Republic

VIENNA - Jan 5/04 - SNS -- There is strong potential for producers of organic food products to export ingredients and finished foods to the Czech Republic, which is now recording annual growth in the size of the market of up to 30% a year.

In 2003 there were over 800 certified organic farms in the Czech Republic. Approximately 240,000 ha (5.5% of total agricultural land) are farmed organically. A 15% to 20% increase in organic acreage is predicted for the next five years. 90% of the organic land forms sustainable grass areas, 8% arable land, 0.5% vineyards and orchards, and 1.5% other type.

The U.S. agricultural attache here says Czech goals for organic agriculture are focused on increasing area to 8% of total agricultural land by 2006 and 10% by 2010, higher subsidies for production on arable land, increased quality of processing, and marketing and export support. Between 2004 and 2006 organic agriculture should receive $37 mil (1 billion CZK), out of which 80% would be from the European Union (EU) budget and 20% from Czech budget.

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