Organic farming is gaining momentum in India as consumers become more conscious of health, environmental sustainability, and food safety. ndia Organic Food Market Size was valued at USD 1.7 Billion in 2023. The organic food industry is projected to grow from Rs. 17,917 Crores ($ 2.07 Billion) in 2024 to Rs. 89,396 ($ 10.329 Billion) by 2032, exhibiting a compound annual growth rate (CAGR) of 22.20% during the forecast period (2024 – 2032)[1]. Certification plays a crucial role in ensuring the authenticity of organic produce and enabling market access for farmers. India has developed a structured organic certification system that includes both third-party and participatory guarantee mechanisms to cater to diverse farming communities.

Certification Systems in India

Organic Certification is mandatory in India and Food Safety Standards Authority of India identified two primary organic certification systems, both drawing standards from National Standards for Organic Production (NSOP) and both carry Jaivik Bharat logo and each catering to different market segments:

  1. National Programme for Organic Production (NPOP):
    • Managed by the Agricultural and Processed Food Products Export Development Authority (APEDA), under the Ministry of Commerce and Industry.
    • Recognized for organic exports.
    • Requires third-party certification by accredited agencies and follows strict compliance with national and international organic standards.
    • In 2024 73 lakh ha is certified under NPOP
    • 41 Certification Bodies are accredited for certification under NPOP.
  2. Participatory Guarantee System (PGS-India):
    • Implemented by the National Centre for Organic and Natural Farming (NCONF) under Ministry of Agriculture and Farmers Welfare through PGS Regional Councils.
    • A decentralized and community-based certification model primarily for the domestic market.
    • Farmers certify each other’s produce through peer reviews and group assessments and verified by PGS Regional Council making it a low-cost alternative to NPOP.
    • 76 PGS Regional Councils are accredited by NCONF
    • A total of 12.88 lakh ha of area is certified under PGS India Organic.

While Organic Certification is mandatory in India, the following exemptions are given for farmers and small aggregators involved in direct marketing

  • Organic food marketed through direct sales by small producer/producer organizations upto Rs. 12.00 lakh turnover to the end consumer are exempt from need of verification of compliance
  • Small traders/aggregators with an annual turnover of Rs. 50 lakh can sell organic products of exempted category farmers directly to end consumers. but no processing and trading is allowed. Packing can be done but labels should not claim certificates. Records of traceability be maintained and the product must comply to standards

The Participatory Guarantee System (PGS) for organic certification in India is a pioneering approach that empowers small and marginal farmers by providing a cost-effective and community-driven certification model. At a time when organic farming is gaining prominence for its environmental and health benefits and Government of India is launching National Mission on Natural Farming, PGS plays a crucial role in making organic certification accessible to a larger number of farmers, particularly those who cannot afford the high costs associated with third-party certification and for the domestic markets.

Understanding PGS Certification

PGS is a locally focused, participatory organic quality assurance system. PGS relies on a peer-review process wherein farmers in a group assess each other’s adherence to organic farming standards. Currently, PGS certification standards are available for crop production, live stock rearing and food processing. Other standards are yet to be rolled out.

PGS serves as an alternative to third-party certification, particularly benefiting local markets, short supply chains, and smallholder farmers. As defined by IFOAM-Organics International, “PGS is a low-cost, locally-based system of quality assurance with a strong emphasis on social control and knowledge building.” This system relies on the active participation of farmers, consumers, rural advisors, and local authorities, who collaboratively make decisions, conduct farm visits, support one another, and ensure compliance with organic standards. The foundation of PGS lies in trust-building among stakeholders, demanding significant time investment while keeping financial costs lower than third-party certification.

PGS is generally implemented through small groups of farmers who under go three years of transition. However, to benefit vast stretches of default organic areas in the country, Government of India has initiated Large Area Certification (LAC) under which  default organic villages/or villages fully adopting natural/organic farming can be certified

The Large Area Certification for Organic Farming is issued based on

  • All farmers in village taking oath that they do not use any agrochemicals or GM crops
  • Gram Sabha Resolution that the village do not use any agrochemicals
  • Department of Agriculture Certifies that no Shop has been permitted to sell Pesticides/Fertilisers in the village

The verification team is constituted by NCONF with Department of Agriculture and PGS Regional Council members.  No transition period is required and certification would be issued in six months

Similar to NPOP certification, processing facilities can be certified under PGS and also production certificates are transferable.

The farmers certified under PGS system can move into NPOP certification without any conversion period.

Importance of PGS in the Indian Context

India is home to millions of small and marginal farmers who form the backbone of its agricultural economy. However, many of them face significant challenges in accessing lucrative organic markets due to the high cost and bureaucratic hurdles of third-party certification. PGS addresses this gap by:

  1. Reducing Certification Costs – The peer-review model eliminates the need for expensive inspections, making organic certification affordable for small-scale farmers.
  2. Promoting Community Involvement – Since certification is based on mutual trust, knowledge-sharing, and collective responsibility, it strengthens farmer networks and encourages cooperative learning.
  3. Enhancing Market Access – With PGS certification gaining wider recognition in domestic markets, farmers can sell their organic produce at premium prices without relying on expensive export-oriented certification systems.
  4. Boosting Organic Transition – By simplifying certification and reducing compliance burdens, PGS encourages more farmers to transition from conventional to organic farming.
  5. Ensuring Sustainability – The model promotes ecological farming practices, biodiversity conservation, and reduced dependence on chemical inputs, aligning with India’s broader goals of sustainable agriculture.

How PGS Benefits Farmers

For farmers, PGS is more than just a certification mechanism; it is a tool for economic empowerment and social inclusion. Many organic farmers struggle with limited resources and lack bargaining power in conventional supply chains. PGS offers an alternative pathway by:

  • Providing a credible certification that enhances consumer trust and fetches better prices for organic produce.
  • Encouraging farmer-to-farmer learning, reducing dependency on external advisories.
  • Facilitating direct marketing opportunities, such as organic farmer markets and community-supported agriculture models, reducing the role of middlemen.
  • Helping farmer groups collectively negotiate better deals for inputs and access institutional support.

Organic Certification and Marketing Opportunities in India

Organic certification is essential for ensuring consumer trust in organic products and enabling farmers to access premium markets. With growing consumer demand for organic products, marketing opportunities are expanding. Key avenues include:

  • Domestic Retail Chains – Organic brands and supermarkets are increasingly stocking certified organic products.
  • E-commerce Platforms – Online marketplaces provide a direct-to-consumer model, improving farmer incomes.
  • Government Initiatives – Programs like PKVY promote organic produce through dedicated organic food parks and markets.
  • Institutional Procurement – Government schemes, mid-day meal programs, and export promotion councils provide additional market access.
  • Export Markets – Certified organic products from India are in demand in Europe, the U.S., and the Middle East, creating international trade opportunities for farmers with third-party certification.

Challenges and the Way Forward

Despite its advantages, PGS faces some challenges. Limited consumer awareness, especially in urban markets, restricts the demand for PGS-certified products. Additionally, since PGS is primarily recognized within India, farmers aiming for export markets still require costly third-party certification. There is also a need for greater policy support to ensure wider market linkages and fair pricing mechanisms for PGS-certified produce.

The way forward involves:

  • Strengthening consumer awareness through targeted campaigns and labeling initiatives to build trust in PGS-certified products.
  • Expanding institutional support, including government procurement of PGS-certified produce for schemes like mid-day meals and public distribution systems.
  • Developing digital platforms for better traceability and market linkages to connect PGS farmers with conscious consumers.
  • Encouraging policy incentives for small-scale organic farmers adopting PGS, including subsidies for inputs and financial assistance for transition.
  • Building regional and international recognition for PGS certification to help farmers access a wider range of markets.

The Role of Technology and Innovations in PGS

Technology can play a transformative role in expanding the reach and credibility of PGS. Mobile applications and blockchain-based traceability systems can enhance transparency and accountability, ensuring that PGS-certified products maintain their authenticity. Governments and non-profit organizations can collaborate to develop digital platforms that enable real-time monitoring, record-keeping, and market linkages, further strengthening the impact of PGS.

Conclusion

The Participatory Guarantee System is a farmer-centric approach to organic certification that aligns with India’s vision of sustainable and inclusive agricultural development. By making organic certification more affordable, fostering community participation, and enabling better market access, PGS is helping thousands of farmers transition towards healthier and more profitable farming practices. With greater consumer awareness, policy backing, and the integration of modern technology, PGS has the potential to revolutionize India’s organic sector, making it not just an economic choice but a movement towards a healthier future for both farmers and consumers.

[1] https://www.marketresearchfuture.com/reports/india-organic-food-market-20704#:~:text=India%20Organic%20Food%20Market%20Overview,period%20(2024%20%2D%202032).