There are several factors involved in the production of organic food that are a little different from conventional or non-organic food. One of the issues is around production costs because we don't have as convenient an arsenal of tools to deal with the challenges of agriculture. We have to use methods that may not be as cost-effective. There's more labour involved in many cases. That's one factor that plays into it.
Another factor that plays into it is the certification cost, the cost of being certified and keeping the paperwork up to date because it's a guarantee system. You have to guarantee that you're using a certain amount, the prescribed methods, and not methods that are not prescribed or not allowed. That takes an extra amount of commitment and cost as well.
The third factor is that there's less support because it's still a relatively niche market. It's a small segment of agriculture that's organic so the support system for this form of agriculture is not as developed. There are fewer, if any, subsidies and the infrastructure is not as well developed. There are fewer, say, seed cleaning plants for grains to be cleaned that are capable of segregating and so on. Because of all these kinds of reasons, there is added cost.
One of the claims we often make is on the quality. We pride ourselves on making the highest quality food. If our food is of a higher quality, it may have more benefits per weight than conventional food. If that's the case, or if the consumers choose to believe that or do believe that, they feel that's part of what they're getting, then the cost is not necessarily as high comparatively.
For our company, Nature's Path, we consider, as you say, that all people should have access to food and we shouldn't price ourselves out of making food available for everyone. For our products, our additional cost is usually 10% to 15% higher for cereals. If you look at the different food categories, you see there is a different premium depending on the production costs and all those other factors I mentioned. Meat is very much higher. Fruits and vegetables can be double, but not necessarily. Dairy is usually double or more. There's a wide range.