By Anna Burdett Farming and rural affairs editor

Last updated 10:16, Friday, 19 September 2008

Consumers are turning their backs on organic produce prompting farmers to do the same.

• Video: David Brass explains hsi free range switch

David Brass

As budgets are squeezed, shoppers are saving money where they can and switching to cheaper alternatives.

David Brass, who runs The Lakes Free Range Egg Company, near Penrith, has stopped producing organic eggs at his farm after sales dropped by 20 per cent during April and May.

The company has reduced its organic egg production from 200,000 a week to 160,000.

Many of his producers have also followed his example – either stopping organic egg production altogether or reducing it.

Instead, the company has switched its focus to free range eggs, which conversely are growing in popularity.

Mr Brass, who started free range egg farming 20 years ago, said: “Groceries and fuel are costing more so people are cutting down on costs.

“Over the period of April and May, sales of organic eggs dropped significantly and we had to think about how we were going to change production. I went around all our producers and asked them if they would switch to free range production.”

While it is easy for organic farmers to switch to free range, it takes a year to switch back again. He added: “We were losing thousands a week on the organic eggs. That went on for three months.”

There was no moral reason for his original shift to organic – he actually believes free range farming is more humane than organic.

Switching to free range was purely a business decision.

The Lakes Free Range Egg Company was set up in 1997 and now employs 50 people. Its farmers look after 350,000 free chickens.

Spending on organic food and drinks fell from nearly £100 million a month earlier this year to £81 million in the most recent four-week period recorded. Farmers are also reporting falling demand for organic chicken and dairy, while organic fruit and meat sales have slumped as well.