Consumers have a simple yet inherently complex desire for food products that are low-cost and healthy. While not necessarily at odds, these two priorities present manufacturers with conflicting directives for sourcing, processing, and delivering quality offerings to end users. Genetically modified organism (GMO) food products, also known as bioengineered foods (BE), were previously hailed as a solution to world hunger and food price inflation. Today, there’s substantial demand for and investment in non-GMO foods.
We’ll briefly cover the history of GMO foods, the non-GMO industry, and how manufacturers meet non-GMO certification requirements established by third-party organizations.
What Is GMO?
A genetically modified organism (GMO) is any living organism that has been modified through genetic engineering to achieve certain characteristics. There are many genetic engineering techniques, including CRISPR/Cas9 gene editing.
Bioengineering, By Any Other Name
In the United States, the more common term is bioengineered foods (BE), which includes all ingredients derived from any modified products. Bioengineered food ingredients are a critical part of US food production and include commodities like sugar beets and corn, plus the refined products they’re used to create, such as corn syrup and canola oil.
The US also requires that all food products that contain bioengineered food ingredients be labeled as such.
The History of GMOs: A Timeline
Genetic engineering’s roots are deeply agricultural. Millennia ago, almost every civilization cross-bred staple crops to increase yields or the prevalence of important characteristics, such as resistance to pests, cold, or drought. Selective plant breeding and crossbreeding were well-established by 8,000 BCE and remained a critical component of agricultural output since then.
By the 1940s and ’50s, scientists realized radiation exposure could further manipulate an organism’s DNA, although the outcomes were almost entirely unpredictable and, in many cases, undesirable. Still, it was the beginning of many discoveries.
When the structure of DNA was defined in 1953, genetic engineering exploded. In less than two decades, researchers could manipulate DNA in bacteria. In 1982, the first FDA-approved GMO product hit the market: human insulin to treat diabetes.
By the 1990s, GMO crops included highly commoditized staples like tomatoes, soybeans, potatoes, and canola. Experts lauded the results; global crop yields increased 22% and pesticide use declined.
These crops still represent an incredible share of lightly processed and processed food products worldwide. Without GMO crops, the US today would need 102,000 additional hectares to grow the same number of crops. Globally, we’d need an additional 1.1 million hectares at a time when housing and commercial development costs are already skyrocketing.
Read More: Food Regulations in the EU vs. US
GMO Research: Are They Safe?
The scientific consensus is clear. GMO foods are safe, and all the available research shows they are equally safe as non-GMO food products.
The lack of long-term research, however, has given rise to concerns about GMO health risks. While lacking robust scientific support, these concerns raise substantial question marks around allergies and antibiotic resistance. Environmental concerns include a loss of biodiversity and the unpredictable effects of cross-pollination with wild species. This largely reflects the US’s risk-based assessment approach to food safety, while most of the world operates on the precautionary principle.
These apprehensions, borne from a mix of novelty and distrust (and accelerated during the pandemic), have gained influence in the marketplace. So, there is a movement toward marketing terms like “healthy” and “clean-label food” that may include non-GMO products but should not define bioengineered foods. That demand has led manufacturers to reformulate existing products and shift future lines in response.
The Rise of Non-GMO Products
Though we cannot quantify the level of concern that’s shaping consumer sentiment for non-GMO products, the market value of these products serves as an effective storyteller. In 2024, the global non-GMO food market jumped to $2.42 billion from $2.07 billion the previous year. The segment is expected to hold a compound annual growth rate of 17.2% through 2030, with high-value regional markets (namely North America and Europe) representing the majority of market increases.
What Does Non-GMO Mean?
Defining non-GMO provides the qualifying benchmarks for non-GMO certification. To be considered non-GMO, a human food product must contain less than 0.9% GMO ingredients in the EU and up to 5% of each ingredient in the US. An animal feed product must contain less than 5% GMO ingredients. As a result, non-GMO brands proactively seek a non-GMO certificate from a third party.
How Are Products Certified as Non-GMO?
Neither the USDA nor the FDA provides, enforces, or recognizes non-GMO certificates. No government entity evaluates non-GMO certified products differently from uncertified foods. The certification process is entirely voluntary and accomplished through third-party organizations globally. In the US, the Non-GMO Project is the most well-established certifying authority, although it’s worth noting that the organization has no authority from the federal government or any public entity.
The process can take months to complete and is handled primarily by four technical administrators in four stages.
- First, a brand applies for certification. Once the application passes screening, they connect with one of the technical administrators (TAs).
- The brand (or, more frequently, one of its specific product lines) signs a contract with the TA and a licensing agreement (e.g., with the Non-GMO Project). Then the brand undergoes product evaluation and verification with the TA. This includes detailed documentation of ingredient sourcing, billing history, facility procedures, and ingredient analysis.
- Once verified by the TA, the brand is allowed to use specific non-GMO labeling on the product and in its marketing materials.
- To retain certification, the brand undergoes an annual review.
This process isn’t free. Non-GMO certification costs vary depending on the issuing organization, the product, and other factors. It usually costs between $500 and $5,000 per year. The fees cover the application review, inspection, and testing. Larger manufacturers typically incur higher fees when utilizing multiple manufacturing facilities or supplies.
These costs, as well as higher prices for ingredients, are typically reflected on store shelves. Non-GMO foods are more expensive than GMO foods, and consumers absorb a price premium ranging from 10% to 62%. Of course, it is difficult to separate retail price differences from profit margin differences. Many consumer advocates worry that reformulated non-GMO products may put additional strain on inflation-hit, low-income consumers.
The Future of Bioengineered Foods
Some believe non-GMO food products solve a problem that doesn’t exist, while others warn that GMOs may have unpredictable outcomes and health risks. The debate will continue as manufacturers seek to balance market realities with consumer preferences. This ongoing conversation faces renewed interest whenever agricultural trade or new research puts it center stage. Bioengineering is accepted in most other industries, including pharmaceuticals. As such, we expect more widespread acceptance and renewed investment in bioengineering to keep the world’s growing population nourished and thriving.
Your Dedicated Supply Chain Partner
That’s why Tilley Distribution customers rely heavily on our technical experience and compliance resources; we provide clear documentation at every supply chain step. We help suppliers and manufacturers meet verification standards and stay compliant, accelerating new applications and renewals. Benefit from an experienced supply chain leader; reach out to a Tilley representative today to get started.
