Organic agriculture can improve farmers’ incomes and the management of natural resources, but it entails additional production and certification costs and a significant time lag for the transition to organic certification and realization of profits. Organic production must be based on sustainable comparative advantage and is likely to be most successful in areas with effective research and extension systems, a supportive policy and regulatory framework, necessary infrastructure, adequate certification systems, and good access to foreign markets. Producer associations have been key to accessing markets, disseminating production technologies, and monitoring compliance with organic standards. Over the past 50 years, agricultural production has increased dramatically, in part through the use of chemical fertilizers, pesticides, and antibiotics. These technologies and the intensive production systems they support can pose increased human and environmental health risks. As a result, a market has developed for “organic” food products, which consumers perceive as safer and more environmentally friendly. Retail sales of organic products were estimated at US$19.7 billion worldwide in 2000 and have grown more than 20 percent annually in major markets over the past 15 years. These growth rates are from a low base, however, and organic food sales generally account for less than 2 percent of total sales in most markets. Thus opportunities to profitably enter this market are somewhat limited by demand. Organic agricultural production, given its limited production levels and variability in yields, is unlikely to impact substantially on global food supplies. Organic Production Systems Organic agricultural production systems employ agronomic, biological, and mechanical methods in place of chemical inputs. Cultural and biological practices control pests and crop rotations, and animal and green manures maintain soil fertility. There is a virtual prohibition on the use of synthetic chemicals for crop and livestock production. Most organic agricultural systems also apply improved land husbandry techniques, such as soil conservation measures, crop rotation, and reduced crop residue burning. Organic production usually involves annual inspection of production sites by independent specialized certification agencies, interviews with producers, review of organic fertilizers and other inputs used, and laboratory tests of soils, water, and agricultural products. Requirements include: land must not have been used for conventional agriculture relying on chemical or synthetic inputs for a minimum time period (usually three years); conventionally grown crops must be a minimum distance from organic crops, and a forested area may be required as a barrier between organically and conventionally grown crops; inputs must be organic, with no chemical or synthetic inputs permitted; soil conservation measures must be applied; and farmer associations must be able to organize supervision to ensure that organic standards are met by all members. Certification focuses on the process of production rather than the end product itself.   
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