Agriculture plays a central role in addressing global challenges such as food security, environmental sustainability, climate change, and rural livelihoods. Organic farming, defined as an approach avoiding the use of synthetic fertilizers, pesticides, and genetically modified organisms, and emphasizing recycling and energy conservation, has gained significant attention as a potentially more sustainable agricultural system. Consumer demand for organic products has surged, prompting further scrutiny of organic farming’s economic viability, efficiency, and sustainability relative to low-input or conventional alternatives.
This analysis examines the economic and institutional aspects of organic farming in relation to sustainable agricultural practices, providing a conceptual framework, evidence, and policy implications for four key factors: market dynamics and global demand, production economics, externality benefits, and potential for sustainable scaling. Organic farming is increasingly viewed as a viable socio-ecological alternative to conventional practices, leading governments, the private sector, and civil society to support its development as a means of contributing to sustainable global food systems (Angel de Porras Acuna et al., 2018) ; (Seufert & Ramankutty, 2017).