This growing demand for organic products is matched by a rapidly growing production: EU organic area increased by 70% in the last ten years and organic retail sales reached 34 billion € in 2017, providing farmers with further added value on their production.
Organic production is characterised by a significantly lower yield than under conventional production. The gap is particularly important for wheat, with a yield ranging between 40% (Germany) and 85% (Italy) of conventional yields. The gap for organic maize yields and milk yields is lower, but may still represent a strong disincentive if not compensated by higher prices.
Lower yields seem however to be counterbalanced by higher producer prices. In Germany, organic wheat producers received up to 150% price premium over conventional prices.
Download the report: https://ec.europa.eu/info/sites/info/files/food-farming-fisheries/farming/documents/market-brief-organic-farming-in-the-eu_mar2019_en.pdf