Teikei Style (collective purchasing, home delivery, and coop)

Originally most sales of organic products went through the method of direct supply. The system promotes direct distribution of products from farm to consumer. In some cases, sales are coordinated by a distributor who works on behalf of producers. Initial efforts of the Teikei system were coordinated by two groups: the Japan Organic Agriculture Association and the Nature Farming International Research Foundation.

Some Japanese operators who are involved in this type of products are now extending the idea of Teikei to international trade, thereby reaching out to small-scale producers in developing countries, known as "kokusai sanchoku" or international Teikei between foreign producers and Japanese consumers. One of the leading organizations of this type of transactions is Alter Trade Japan, Inc. (AJT), which was founded by collaborative funds from various distributors specialized in organic products as well as consumer cooperatives.


Supermarkets

They sell both organic and green labeled products. However, green labeled products are becoming increasingly dominant. For producers of small volumes of organically certified products wanting to secure premium prices for their quality products, supermarkets are unlikely to offer the returns available through speciality stores. Supermarkets source their products through food brokers and traders and wholesalers.


Consumer Cooperatives

They have membership of over 18 million people which represents 15% of Japan`s population. Coops sell a lot of self-certified products and some organic products as well. However, a majority of it is selection is domestically grown produce.

At the wholesale level, it is estimated up to 25% of organic production is sold through distribution organizations that specialize in organic food. Over 55% is sold through home delivery such as the Teikei system. Food brokers and traders handle 5%. Wholesale and warehouse organizations handle 5%. Food processing manufactures handle 10%. There is also a recent trend of sales through the internet. Over 2,400 Internet sites offering green and organic products for sale.