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Rabobank sees opportunities in organic farming

The Dutch department of Rabobank concludes from a consumer survey that the demand for bio in the coming years will increase further. Therefore, it recommends that the financial institution farmers to make the transition towards organic farming.

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A whopping 68% of Dutch consumers gave in the research of the last half year, organic products have bought. Most of them did so out of the belief that it is healthier, better for the environment or for the taste. Also ‘animal welfare’ and ‘quality’ as the reason given.

Rabobank expects that the demand in the coming period will continue to rise, so the supply would have to rise. In the presentation of the results of her research to find the bank, however, that the farmers who transition only, because the food industry and the government has an interest in them in addition to support. Easier access to funding or a ‘transitielabel’ belong to the possibilities.

© Wageningen Economic Research

During 2016 in the Netherlands there is 60,000 hectares of organic farming have been added. Especially dairy farmers, will be switching to the organic version.

However, it warned the bank that a transition not for every farmer to play: “supply-Chain management is, and remains, necessary to ask question and demand together in order to have a vote. A great offer is disadvantageous for the formation. Moreover, it is only switching from economic motives is risky. Ask yourself the following questions: what type of entrepreneur are you? And fits organically work in your business?”

Also in Belgium, bio in the elevator and were the economic benefits of the biological work on the Flemish country – and tuinbouwbeurs Agriflanders shown. (EK)

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