Sowing the seeds of growth: Organic market boom and the road to expo 2025
Organic & Natural Products Expo Africa: Empowering green SMEs
Picture this: a budding South African entrepreneur starts her business with a small organic skincare line at her local market. Fast forward a couple of years and now she is preparing to showcase her products on an international stage: the Organic & Natural Products Expo Africa 2025 in Cape Town. As a partner for growth, we know how important it is to channel support for emerging businesses and the industries in which they thrive. Her journey reflects a larger story: unprecedented growth, both globally and at home, and an emerging support system that is helping small businesses flourish in this green economy. With our backing and the backing of esteemed stakeholders such as the Department of Trade, Industry & Competition, the Industry and Small Enterprise Development and Finance Agency, the South African Organic Sector Organisation and many more, this year’s expo promises to be more than just an exhibition; it is a launchpad for sustainable SMEs looking to scale up, network and go global.
A booming organic and natural products market: Global and local trends
The ever-growing consumer demand for healthier, eco-friendly products has propelled the organic and natural goods industry into the mainstream. Globally, the organic food market alone was valued at around USD 228 billion in 2024 and is projected to nearly triple to USD 658 billion by 2034, growing at roughly 11% annually. This explosive growth is mirrored across categories, from organic foods and beverages to natural cosmetics and eco-friendly home products, as shoppers increasingly seek out products that are good for them and the planet. In fact, worldwide sales of organic food reached about EUR110 billion by 2019, and the momentum only accelerated through the pandemic years.
South Africa may have a smaller slice of this global market, but it is rapidly expanding. The South African organic food and beverage sector is growing at an estimated 13% compound annual growth rate in the latter 2020s, underpinned by rising health consciousness and environmental awareness. What was once niche—organic produce, health foods, natural cosmetics—is becoming an everyday preference for many consumers. Major retailers now stock dedicated organic ranges, and local brands are busy innovating on many fronts from organic rooibos teas to natural skincare lines. Notably, the number of certified organic farms in South Africa jumped from just 35 in 1999 to around 250 by 2018, signalling how farmers and producers are pivoting to meet the demand. South Africa today boasts the most diverse range of organic products in Africa, from wine, cheese and olive oil to baby care items and even pet food, yet when we look through the findings in comparison to Europe or the US, the domestic market is still in early bloom. For entrepreneurs, this means that there is huge room to grow. Local demand already exceeds what current suppliers can consistently provide, and international markets are eager for African organic goods (South African growers supplied nearly 46% of the EU’s organic citrus imports in 2019). All this points to a ripe opportunity: SMEs that can scale up sustainably stand to ride a significant wave of growth both at home and abroad.
Challenges fertilising the field: SMEs weather growing pains
For all the optimism, small and medium enterprises (SME) in the organic sector face a unique set of challenges. Many of these businesses are passion-driven startups—organic farmers, natural product formulators, eco-conscious innovators—that operate on thin margins. One major hurdle is financing: turning a kitchen experiment or a smallholder farm into a scalable business often requires capital that isn’t easy to come by. Traditional lenders can be wary of the agriculture sector’s uncertainties or the unproven nature of a new natural product. As a result, organic entrepreneurs frequently struggle to secure loans to buy equipment, certify their products or expand production. As Standard Bank Group Deputy Chief Executive Officer and South Africa Chief Executive Officer Kenny Fihla puts it, even when demand is high, access to finance is crucial to help SMEs ‘overcome challenges and thrive’ as they are ‘the backbone of South Africa's economy’.
Linked to financing is the challenge of scalability. Organic farming and production don’t easily lend themselves to overnight scale-ups: crops must be grown in season and without synthetic boosters, and handcrafted natural products take time to perfect. Keeping up with a large retail order or consistently supplying a nationwide chain can be daunting for a small producer. There’s often a mismatch between what big buyers need and what small suppliers can deliver: large retailers demand steady, high-volume supply at competitive prices whereas small organic farms or artisan manufacturers have limited output and higher costs. This gap has pushed many SMEs to find alternative routes to market, such as farmers’ markets or online sales, but those can only take business so far.
A third hurdle is navigating international trade for those eyeing export markets. On the one hand, going global is a huge opportunity: overseas consumers are hungry for Africa’s natural products. On the other hand, it means grappling with stringent standards and logistics. Obtaining organic certification for export (whether EU, USDA or other) is expensive and complex yet necessary to prove a product meets international organic criteria. SMEs must ensure consistent quality control and packing that meets foreign regulations, all while learning the intricacies of shipping, customs and cross-border payments. It’s a lot to manage for a lean operation.
These hurdles—financing, scaling and trading—might seem high, but they are by no means insurmountable. In fact, awareness of these pain points has led to targeted support from various quarters. Government agencies and industry bodies are stepping in (for example, the Small Enterprise Development Agency subsidised 28 exhibitor stands to boost SME participation at last year’s expo). Most importantly, financial institutions are recognising that investing in organic SMEs is not just good for community and planet but good business too.
Banking on sustainability
As Africa’s largest bank, we have strategically aligned ourselves with sustainable growth sectors, and organic products are a natural fit. Over the past 2 years, we have actively supported the Organic & Natural Products Expo’s SME Showcase Pavilion, an initiative that helps small businesses afford a presence at the show. “The organic and natural products sector is predominantly driven by small businesses, many of which create truly innovative products but struggle with the cost of exhibiting,” explains Head of Sponsorship and Partnerships Warren Hickinbotham. Our support has already helped brands such as China Herb, Pegasus and Go Bamboo secure contracts and expand operations.
Beyond the expo, we are continuously breaking down financial barriers for SMEs. As of February 2025, we have partnered with the African Development Bank, launching a R3.6 billion social bond and a USD200 million trade finance facility to fund small businesses and facilitate cross-border trade. Our global network, driven by our pro-SME, pro-sustainability stance, including our partnership with China’s ICBC, has also helped African exporters secure major international deals.
The larger picture is clear: banking institutions play a pivotal role in supporting sustainable business growth. The provide more than just financing; they offer mentorship, market linkages and tools for managing risk. Integrating sustainability into lending criteria, as we have done, actively channels capital towards businesses that deliver positive environmental and social impact. It’s sustainability in action, fuelled by finance.
Expo 2025: A launchpad for opportunity
It all comes to a head with initiatives such as the Organic & Natural Products Expo Africa 2025, taking place from 28 to 30 March in Cape Town. The expo is set to be the largest gathering of organic and natural product businesses in Africa with nearly 1 000 trade buyers and industry visitors already registered and exhibitors from the UK, Kenya, UAE, Germany, Nigeria and beyond. The event is a key gateway for SMEs looking to scale both locally and globally.
For small businesses, the expo offers unparalleled market exposure. SMEs will have the chance to showcase their products to retail buyers, distributors and investors. Entrepreneurs can network with suppliers, industry leaders and government agencies, forging strategic partnerships that unlock new growth opportunities.
A big highlight, of course, is the SME Showcase Pavilion, where select small businesses can exhibit at subsidised rates, making participation more accessible. Additionally, a structured conference will provide workshops on export strategies, financial access and supply chain optimisation, offering practical insights to overcome key challenges.
With financial institutions and business advisors on site, businesses can explore tailored Standard Bank SME funding solutions to scale sustainably. Given the expo’s proven track record of generating business leads and securing retail partnerships, 2025 promises to be an unmissable opportunity for organic entrepreneurs ready to expand their reach and impact.
Cultivating a sustainable future: Your call to action
As we stand on the cusp of the 2025 expo, the message to South Africa’s organic and natural product entrepreneurs is clear: your time is now. Our involvement is more than just a logo on the brochure; it’s an open invitation. Take advantage of the tools and platforms being offered, whether it’s the chance to showcase under the bank’s SME Pavilion, exploring a Standard Bank SME funding solution that could help you fulfil that big order or tapping into their trade expertise to ship your goods to new shores.
In the spirit of organic growth, we’d like to reiterate that great things often start small. A single idea, a small booth, one meeting, any of these can spark a breakthrough. The organic and natural products boom is not a passing trend; it’s a fundamental shift toward sustainability that is here to stay, offering enterprising SMEs a chance to thrive while making a positive impact on people and the planet.
It's time to gear up for the expo, bring your passion and your story and get ready to connect with the ecosystem that’s eager to help you grow. We’ll see you at the Organics & Natural Products Expo Africa 2025.