2025 Organic Market Report

Organic: New Zealand’s High-Value, Low-Impact Advantage

The 2025 Organic Sector Market Report shows New Zealand’s organic sector has reached a record NZ$1.18 billion in value. This includes for the first time organic sales in the foodservice sector and reflects a 37% increase since 2020 (excluding foodservice), marking strong and sustained growth.

Given the evidence of strong growth in global demand and the premium commanded by organic products, organics is New Zealand’s highest-value and lowest-impact of primary production, delivering premium exports, healthier food, and stronger environmental outcomes. But the report also delivers a stark warning. New Zealand’s organic sector lags behind the rest of the world due to outdated policies and lack of investment. The looming threat to the country’s GE-free status also puts this success at risk.

 

WATCH THE ONLINE LAUNCH EVENT OF THE 2025 ORGANIC SECTOR MARKET REPORT: LIVE VIA ZOOM 5 JUNE, 2025

 

Key growth highlights include:

  • The sector has grown from NZ$723 million in 2020 to NZ$1.18 billion in 2024

  • Exports totalled NZ$606.7 million, growing at nearly twice the rate of total primary sector exports.

  • Domestic consumption reached NZ$572 million, including NZ$190 million from the foodservice sector, now measured for the first time.

  • Certified organic land grew 4.3%, reaching 89,544 hectares

  • Leading export categories include fruit and vegetables (40.3%), dairy (35.3%), and wine (12.2%).

Despite strong performances, the report highlights critical structural barriers that continue to constrain the sector’s full potential:

  • Only 0.6% of New Zealand farmland is certified organic, well behind global benchmarks, limiting the sector’s ability to scale.

  • The National Organic Standard remains unfinished, more than two years after legislation was passed and despite over a decade of sector advocacy. Without it, producers face uncertainty and inconsistent recognition in international markets.

  • Organic equivalency agreements with key trading partners remain undone, delaying access to lucrative premium markets and adding compliance costs for exporters.

  • Certification and regulatory costs are rising, particularly impacting small and medium-sized producers and discouraging new entrants.

  • The Government’s proposed Gene Technology Bill would allow the outdoor release of genetically modified organisms (GMOs), posing an existential threat to organic producers, jeopardising New Zealand’s GE-free brand and risking the loss of access to premium organic export markets that prohibit GE contamination.

 

This year’s report is packed with insights and analysis, including:

🔹 Comprehensive market data across export, retail and foodservice
For the first time, the report includes foodservice data, revealing that Kiwis spent $190 million on organic coffee, beverages, and food away from home. Total domestic consumption reached $572 million, while exports hit $606.7 million.

🔹 Top-performing product sectors
Fruit and vegetables remain the #1 organic export category, surging 71% since 2020. Dairy follows, with strong international demand driving a 39.5% increase. Organic wine holds third place, and processed foods are gaining momentum.

🔹 Market trends and consumer insights
The report explores why more New Zealanders are choosing organic: food safety, environmental responsibility, and trust. It also identifies challenges like price sensitivity, cost of certification, and competition from unverified “green” claims.

🔹 International trade dynamics and policy barriers
New Zealand is falling behind competitors in organic regulation and trade access. With no equivalency agreements in place and the National Organic Standard still incomplete, exporters face costly hurdles to growth.

🔹 Forecasts, risks and opportunities
The report outlines high-growth opportunities in organic wool, beef, and lamb, and calls out the Gene Technology Bill as a major threat to organic integrity and export confidence. It provides clear actions to unlock sector growth and keep NZ competitive.

Download the full 2025 NZ Organic Sector Market Report (PDF) below and join our online launch event on Thursday 5th April here.