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E-mail Print Why Wal-Mart's Entry to the Organic Market Should Be Applauded,
Environmental Notes
By: Amy Kaleita, Ph.D
6.7.2006

Environmental Notes

SAN FRANCISCO – Wal-Mart recently announced that it will increase its offering of organic products, including dairy goods, produce, and fabrics. This has sparked an outcry from die-hard organics promoters who see Wal-Mart as uncooperative and not entirely earth-friendly. There is, however, room for some Wal- Martization of the organic market.

Buying “organic” evokes images of local cooperatives, earthfriendly growers, and un-capitalist enterprise. But as the market for organic products expands, the commercial success of the movement is highlighting the contradictory self-perception of many proponents.

The functional definition of “organic,” from the US Department of Agriculture, is process-based. For example, the use of synthetic pesticides is severely limited, and appropriate soil conservation methods are mandated. In this way, the environmental impact of organic production is theoretically less than conventional production. This definition certainly does not preclude Wal-Mart from responding to the increasing popular demand for these products. Indeed, one could argue that Wal-Mart’s entry into this area marks a milestone of success for advocates of organic products, making these products potentially available to hundreds of millions. The campaign against Wal-Mart involves not only how the product was produced but the ideology of the producer. The buying and selling of organic products is about more than environmentally conservative agricultural practices. It is now also a social statement.

This ideological take is a major reason that organic food products have largely been available only in high-priced specialty stores or farmer’s markets in a handful of places. Patrons are likely to be buying a lifestyle choice in addition to a box of raisins — and paying a high price for it.

Most grocery shoppers aren’t concerned with making a social statement. They want affordable food with limited health effects from chemical residues. This is the consumer that Wal-Mart will be targeting with its organic offerings. The certified organic symbol on a food item will be more important than the philosophy of the producers or distributors.

Many consumers may choose certified organic products when given the opportunity but will not go out of their way to do so. For consumers in areas without a plethora of organic growers, Wal-Mart could provide opportunities where none previously existed.

Some argue that Wal-Mart will drive smaller organic producers out of business, in favor of large-scale, impersonal enterprises. Some of this may occur, but it is more likely that these smaller producers will maintain their existing marketing relationships. Large-scale producers, who have infrastructure to handle dealing with a corporation the size of Wal-Mart, will begin to increase their organic offerings.

Indeed, numerous certified producers participate in the organic movement as a production and marketing strategy. The goal is to make money, in response to consumer demand for food products produced in an environmentally responsible way. These producers will respond to market demand and make choices on the basis of a variety of factors not locked into organic production. Consumers who want such the ideology along with the production can still shop at specialty stores that cater to this market. It is doubtful that these environmentally conservative patrons will abandon their current shopping practices simply because Wal- Mart because begins selling organic products.

Wal-Mart’s plans simply expand the options of typical Wal-Mart shoppers. There is room in the market for a wide variety of consumers, and should increased availability of environmentally conservative products make a dent in the impact of production agriculture on a larger scale, so much the better. Instead of protesting Wal-Mart, activists should congratulate themselves for convincing the mass market of the advantages of organic products. Wal-Mart’s entry into organics is evidence of their success, not a threat to their beliefs.

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