SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549


                                   FORM 10-QSB

(Mark One)

[X]  QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
     OF 1934 FOR THE QUARTERLY PERIOD ENDED DECEMBER 31, 1998


[ ]  TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
     OF 1934 FOR THE TRANSITION PERIOD FROM ______________ TO ________________


                          Commission File No. 333-22997

                           ORGANIC FOOD PRODUCTS, INC.
                           ---------------------------
        (Exact name of small business issuer as specified in its Charter)

             California                                    94-3076294
             ----------                                    ----------
(State or other jurisdiction of incorporation   (I.R.S. Employer Identification
or organization)                                              Number)

550 Monterey Road, Suite B
Morgan Hill, California                                       95037
--------------------------                                    -----
(Address of principal executive offices)                   (Zip Code)

                                 (408) 782-1133
                            -------------------------
                            Issuer's telephone number

Check whether the registrant  (1) has filed all reports  required to be filed by
Section 13 or 15(d) of the  Exchange  Act during the past 12 months (or for such
shorter period that the  registrant was required to file such reports),  and (2)
has been subject to such filing  requirements for the past 90 days.
Yes [ X ] No [ ]

                APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY

Check whether the  registrant  filed all  documents  and reports  required to be
filed by Section 12, 13 or 15(d) of the Exchange Act after the  distribution  of
securities under a plan conformed by court. Yes [ ] No [ ]

                      APPLICABLE ONLY TO CORPORATE ISSUERS

State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date: Common Stock, no par value, 7,275,688
shares as of December 31, 1998.

Transitional Small Business Disclosure Format: Yes [  ]  No [ X ]



<PAGE>


PART I - FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS
----------------------------

                           ORGANIC FOOD PRODUCTS, INC.
                                 BALANCE SHEETS

                                     ASSETS
                                                                    (Unaudited)
                                                                    December 31,
                                                                       1998
                                                                    -----------

Current Assets:
   Cash                                                             $    96,145
   Accounts receivable, net                                           1,110,399
   Inventory, net                                                     2,754,488
   Prepaid expenses                                                     246,580
   Related party receivable                                              77,346
                                                                    -----------

          Total Current Assets                                        4,284,958
                                                                    -----------

Property and Equipment:
   Computer software                                                     58,218
   Leasehold improvements                                               185,269
   Machinery and equipment                                            1,090,976
   Office equipment                                                      53,257
   Printing plates                                                       62,193
   Vehicles                                                              19,542
                                                                    -----------
                                                                      1,469,455
   Less: accumulated depreciation                                      (210,058)
                                                                    -----------

                                                                      1,259,397
                                                                    -----------
Other Assets:
   Deposits and other                                                     3,290
                                                                    -----------



        Total Assets                                                $ 5,547,645
                                                                    ===========


                   The Accompanying Notes are an Integral Part
                           of the Financial Statements


                                        1


<PAGE>

                           ORGANIC FOOD PRODUCTS, INC.
                           BALANCE SHEETS (Continued)

                      LIABILITIES AND SHAREHOLDERS' EQUITY

                                                                    (Unaudited)
                                                                    December 31,
                                                                        1998
                                                                    -----------
Current Liabilities:
   Notes and capitalized leases
     payable - current portion                                      $ 1,850,867
   Notes payable - related parties -
     current portion                                                    497,238
   Accounts payable and accrued expenses -
     related parties                                                    341,299
   Accounts payable and accrued expenses                              1,836,156
   Accrued wages and taxes                                              172,310
   Accrued commissions                                                   52,446
                                                                    -----------

          Total Current Liabilities                                   4,750,316
                                                                    -----------

Capital lease obligations - long-term
     portion                                                             10,828

                                                                    -----------

Shareholders' Equity:
   Common stock                                                       9,851,687
   Accumulated deficit                                               (9,065,186)

                                                                    -----------

                                                                        786,501
                                                                    -----------

       Total Liabilities and Shareholders' Equity                   $ 5,547,645
                                                                    ===========



                   The Accompanying Notes are an Integral Part
                           of the Financial Statements

                                        2



<PAGE>
<TABLE>
<CAPTION>

                                     ORGANIC FOOD PRODUCTS, INC.
                                      STATEMENTS OF OPERATIONS



                                                (Unaudited)                   (Unaudited)
                                              Six Months Ended             Three Months Ended
                                         December 31,   December 31,   December 31,   December 31,
                                            1998           1997            1998           1997
                                         -----------    -----------    -----------    -----------

<S>                                      <C>            <C>            <C>            <C>        
Revenues                                 $ 5,484,930    $ 5,639,661    $ 2,643,055    $ 2,805,777

Cost of Goods Sold                         4,854,877      4,082,103      2,449,228      2,212,411
                                         -----------    -----------    -----------    -----------

Gross Profit                                 630,053      1,557,558        193,827        593,366
                                         -----------    -----------    -----------    -----------

Sales and Marketing Expenses               1,415,748      1,575,565        610,141        870,114

Amortization and Write-off of Goodwill     1,080,382                     1,050,152

General & Administrative Expenses          1,123,403        460,909        393,130        283,188
                                         -----------    -----------    -----------    -----------
                                           3,619,533      2,036,474      2,053,423      1,153,302
                                         -----------    -----------    -----------    -----------

Loss from Operations                      (2,989,480)      (478,916)    (1,859,596)      (559,936)

Interest Expense ,Net                        (67,323)       (37,021)       (35,483)       (10,756)

Other Expense, Net                           (33,897)       (30,966)       (20,701)       (41,241)
                                         -----------    -----------    -----------    -----------
Income (Loss) before Provision            (3,090,700)      (546,903)    (1,915,780)      (611,933)
for Income Taxes

Provision for Income Tax (Expense)                          136,726                       136,726
                                         -----------    -----------    -----------    -----------


Net Income (Loss)                        $(3,090,700)   $  (410,177)   $(1,915,780)   $  (475,207)
                                         ===========    ===========    ===========    ===========

Basic and Diluted Loss per share         $      (.43)   $      (.06)   $      (.26)   $      (.07)
                                         ===========    ===========    ===========    ===========

Weighted Average Number
of Shares Outstanding                      7,275,668      6,408,270      7,275,668      6,752,913
                                         ===========    ===========    ===========    ===========




                             The Accompanying Notes are an Integral Part
                                     of the Financial Statements

                                                  3

</TABLE>
<PAGE>

                           ORGANIC FOOD PRODUCTS, INC.
                            STATEMENTS OF CASH FLOWS

                                                             (Unaudited)
                                                          Six Months Ended
                                                     December 31,   December 31,
                                                        1998           1997
                                                     -----------    -----------
Increase (Decrease) in Cash:

 Net cash used by operating
 activities                                          $  (642,352)   $(1,391,500)
                                                     -----------    -----------

Cash flows for investing activities:
    Purchase of fixed assets                            (107,526)      (280,388)
    Advances to or on behalf of shareholders             (27,346)       (42,000)
    Cash received from sale of fixed assets                 --           27,819
                                                     -----------    -----------

      Net cash used by investing activities             (134,872)      (294,569)
                                                     -----------    -----------

Cash flows from financing activities:
    Repayment of capital lease and notes payable         (21,783)    (1,828,547)
    Repayment of notes payable - related parties            --       (1,506,586)
    Proceeds from issuance of stock                         --        4,958,277
    Proceeds from line of credit                       1,846,156           --
    Repayments on line of credit                        (992,589)          --
                                                     -----------    -----------

      Net cash provided by financing activities          831,784      1,623,144
                                                     -----------    -----------

Net increase (decrease) in cash                           54,560        (62,925)

Cash at beginning of period                               41,585         62,925
                                                     -----------    -----------

Cash at end of period                                $    96,145    $      0.00
                                                     ===========    ===========




                   The Accompanying Notes are an Integral Part
                           of the Financial Statements


                                        4

<PAGE>


ORGANIC FOOD PRODUCTS, INC.
NOTES TO FINANCIAL STATEMENTS



1.   Interim Financial Statements:

     The  unaudited  interim  financial   statements   include  all  adjustments
     (consisting  of  normal  recurring  accruals)  which,  in  the  opinion  of
     management,  are  necessary in order to make the financial  statements  not
     misleading.  Operating  results for the six and three month  periods  ended
     December 31, 1998 are not necessarily indicative of the results that may be
     expected  for the  entire  year  ending  June  30,  1999.  These  financial
     statements have been prepared in accordance  with the  instructions to Form
     10-QSB  and  do not  contain  certain  information  required  by  generally
     accepted  accounting  principles.   These  statements  should  be  read  in
     conjunction  with financial  statements  and notes thereto  included in the
     Company's Form 10-KSB for the year ended June 30, 1998.

2.   Initial Public Offering:

     During the six months ended  December 31, 1997,  the Company  completed its
     initial public offering of 1,495,000 shares of no par value common stock at
     a price of $4.00  per  share  receiving  gross  proceeds  of  approximately
     $6,000,000.  The  Company  issued  130,000  warrants to an  underwriter  in
     connection with its initial public  offering.  The warrants are exercisable
     at a price of $4.80 per share,  and expire  approximately  two and one-half
     (2.5) years from the date of the August 1997 offering.

3.   Related Party Transactions

     During the six and three month periods ended December 31, 1998, the Company
     recorded  payables to Global Natural Brands totaling $380,000 and $371,000,
     respectively.  However,  certain of these  amounts  are in  dispute.  These
     related  party  transactions  included  expenses  for  management  fees and
     personal expenses. Global Natural Brands, a shareholder of the Company, was
     a management  group retained by the Company through October 1998 to oversee
     daily operations.

4.   Non-Cash Transactions

     During the six and three month periods ended December 31, 1998, the Company
     reclassed  $37,322  previously  held in accounts  payable to notes  payable
     related  parties.  Additionally,  goodwill  in the amount of  $156,867  was
     recorded to reflect the estimated  value of escrowed shares of common stock
     which will be released and recorded as issued in 1999.

5.   Subsequent Event

     On February 18, 1999,  the Company and Spectrum  Naturals,  Inc.,  and its'
     affiliate, Spectrum Commodities, ("SNI") entered into a letter of intent to
     merge  the  companies  with or into  the  Company  or a  subsidiary  of the
     Company. In addition the Company entered into a letter of intent to acquire
     all the outstanding shares of Organic Ingredients, Inc. in exchange for the
     Company's  stock.  Under  the  terms of the  anticipated  merger,  SNI will
     receive  70% of the post merger  Common  Stock of the  Company,  subject to
     certain  adjustments.  The merger and  related  acquisition  are subject to
     shareholder  approvals  and  completion  of  definitive   agreements.   The
     transactions are expected to be completed by early May. In the interim, the
     Company and SNI have entered into an advisory services  agreement until the
     merger is completed.



                                        5

<PAGE>


Item 2: Management's Discussion and Analysis
--------------------------------------------

Results of Operations  for the Six and Three Months Ended  December 31, 1998 and
Six and Three Months Ended December 31, 1997.
--------------------------------------------------------------------------------

Net Results

Organic Food Products,  Inc. (OFPI or the "Company") reported a net loss for the
six and three  months  ended  December  31, 1998 of  $3,091,000  and  $1,916,000
respectively,  compared  to net losses of  $410,000  and  $475,000  for the same
periods from the prior year.  The losses in 1998 are attributed to the write-off
of approximately  1.0 million of goodwill for Sunny Farms,  management  services
fees from  Global  Natural  Brands,  organic  tomato  price  increases  over the
previous  fiscal periods and increased  cost of goods sold due to  manufacturing
inefficiencies in the production facility.

Revenues

Revenues  decreased $155,000 or 2.7% for the six months and $163,000 or 5.8% for
the three months ended  December 31, 1998  compared to the same periods from the
prior  fiscal year.  The decrease in the  year-to-date  and  quarterly  revenues
resulted  from a reduction  in club store sales and a decrease in overall  pasta
sauce product sales due to competitive  pressures  within the product  category.
The  decrease  in pasta  sauce  sales  was  partially  offset  by sales of juice
products as a result of the Sunny Farms acquisition in February 1998.

Cost of Goods Sold

The Company's  cost of goods sold increased as a percentage of sales for the six
and three months ended December 31, 1998 reaching 88.5% and 92.7%  respectively,
compared  to 72.4% and  78.9% for the same  periods  from the  prior  year.  The
increase in the year-to-date and quarterly  expense resulted from organic tomato
price increases over the previous fiscal periods,  manufacturing  inefficiencies
in the production facility and production of low margin juice products in 1998.

Sales and Marketing Expenses

The Company's sales and marketing expense decreased as a percentage of sales for
the six and three  months  ended  December  31, 1998  reaching  25.8% and 23.1%,
respectively,  compared to 27.9% and 31.0% for the same  periods  from the prior
year. The decrease in the  year-to-date  and quarterly  expense  resulted from a
reduction in manufacturers  charge-backs and other promotional programs. 

General and Administrative Expenses

The Company's  general and  administrative  expense increased as a percentage of
sales for the six and three months ended  December 31, 1998  reaching  20.5% and
14.9%,  respectively,  compared to 8.2% and 10.1% for the same  periods from the
prior year. The increase in the year-to-date and quarterly expense resulted from
charges for management services fees from Global Natural Brands and increases in
legal and accounting services.

Net Interest Expense

The  Company's net interest  expense  increased as a percentage of sales for the
six  and  three  months  ended   December  31,  1998  reaching  1.2%  and  1.3%,
respectively,  compared to .7% and .4% for the same periods from the prior year.
The increase in the year-to-date  and quarterly  expense resulted from increased
usage of the Company's  line-of-credit  facility and an increase in the interest
rate charged by FINOVA Capital versus Wells Fargo Bank.


                                        6
<PAGE>

 
Year 2000 Compliance

Organic Food Products Inc.,  uses computer  software that may be impacted by the
year 2000 problem,  and also relies upon vendors of equipment and services whose
products  may be  impacted by the year 2000  problem.  The  Company's  year 2000
compliance  issues  include:  1) the  equipment  it  uses  in its  manufacturing
process;  2) the  hardware  and  third-party  software  it  uses  for  corporate
administration;  3) the  services of  third-party  providers  it  purchases  for
certain   professional   services;   and  4)  the  external   services  such  as
telecommunications  and electrical  power. The Company has initiated a plan that
will attempt to identify all computer hardware and software, plant equipment and
services upon which it relies that may be impacted.  After identification of any
problem areas, the Company will verify whether or not those products or services
are year 2000 compliant.  The plan includes  contacting those vendors or service
providers to determine  their  compliance  or plans to become  compliant  before
December 31, 1999.  It is the intent of the Company to complete  this process by
December 31, 1998.

The Company uses various pieces of equipment in its  manufacturing  process that
may contain computer chips that could be affected by the year 2000 problem.  The
Company has  started,  but not  completed a program to identify  which pieces of
equipment could be affected and how the affected equipment could be updated.

The Company's  corporate  administrative  and operating  systems are exclusively
PC-based  using a  commercially  available  software  package.  The  Company has
received  written  confirmation  from  the  legal  department  of  the  software
developer confirming that it is year 2000 compliant.

The Company uses outside service providers for the processing and administration
of its payroll, 401(k) retirement plan and insurance benefit programs.  Although
a survey of these service providers has not been completed, the Company believes
that these providers will have year 2000-compliant systems.

The Company has not deferred any information  technology projects to date due to
the need to assess or ensure year 2000  compliance of its systems,  and does not
anticipate that any other information technology projects will be delayed in the
future due to the year 2000 problem.

For the reasons mentioned  herein,  the Company does not anticipate that it will
have an incomplete or untimely resolution of the year 2000 problem. Although the
total costs of compliance have not been completely assessed, management does not
believe they will be material in nature.  As previously  mentioned,  the Company
believes  it has or will  achieve  timely  year 2000  compliance  in  advance of
December  31,   1999.   With   respect  to  external   companies   that  provide
telecommunications  and electrical  power, the Company is less certain about the
impact of their  non-compliance  regarding the year 2000 problem.  Clearly,  the
loss of these services would create a major  disruption of the Company's  normal
operations.  Given this scenario,  the Company would be required to obtain these
services from other  sources.  The cost of switching to other utility  providers
has not been assessed.


                                       7
<PAGE>



Issues  similar to these also face the  Company's  customers  and  vendors.  The
Company  has not yet  completed  an  assessment  of year 2000  readiness  of its
customers  and  vendors.  However,  based on initial  discussions  with  certain
customers and vendors,  management does not currently believe that business with
those  customers  and vendors will be  significantly  disrupted by the year 2000
problem.

Seasonality

Historically,  the  Company  has  experienced  little  seasonal  fluctuation  in
revenues.  The Company occasionally  contracts for certain product purchases for
the entire year at harvest  time,  or at planting  time, to secure raw materials
throughout  the year.  These  purchases take place annually from early spring to
mid-summer,  and are  effected to reduce the risk of price  swings due to demand
fluctuations.  These  annual  purchases  can create  overages  and  shortages in
inventory.

Liquidity and Capital Resources

As of December 31, 1998,  the Company's  cash position was limited.  The Company
has a  $3,000,000  revolving  line of  credit  and a  $500,000  equipment  line.
However,  the funds available to the Company are based upon discounted  accounts
receivable  and  inventory.  Thus,  the  Company  has only  been  able to borrow
approximately 62% or $1,850,000 of the $3,000,000 revolving line of credit, much
of which has been used to repay prior debt  commitments.  The  operating  losses
over the  past  six  months  have  significantly  reduced  working  capital  and
availability  of funds under the Company's line of credit.  Without the infusion
of additional capital  resources,  management is uncertain the Company will have
sufficient cash to support future business operations. To remedy this situation,
management  implemented a cost reduction program,  reducing cash expenditures in
the most recent quarter, and has explored various options to generate additional
cash.

On February  18,  1999,  the  Company  and  Spectrum  Naturals,  Inc.,  and its'
affiliate, Spectrum Commodities, (SNI") entered into a letter of intent to merge
the companies with or into the Company or subsidiary of the Company. In addition
the  Company  entered  into a letter of intent to  acquire  all the  outstanding
shares of Organic Ingredients, Inc. in exchange for the Company's stock. Funding
to  finance  the  merged  companies  has been  obtained  and is  believed  to be
sufficient  to meet the merged  companies'  cash  needs.  The merger and related
acquisition  are subject to  shareholder  approvals and completion of definitive
agreements.  The  transactions are expected to be completed by early May. In the
interim, the Company is exploring bridge financing alternatives.

Business Risks and Uncertainties

The  Company's  future  results  of  operations  and the  other  forward-looking
statements contained in this document,  in particular the statements  concerning
plant efficiencies and capacities,  capital spending,  research and development,
competition,  marketing  and  manufacturing  operations,  liquidity  and capital
resources,  and other information  provided herein involve a number of risks and
uncertainties.  In  addition  to the factors  discussed  above,  among the other
factors  that could  cause  actual  results  to differ  materially  are  general
business conditions and the general economy;  competitors' pricing and marketing
efforts;  availability of third-party  material  products at reasonable  prices;
risk of nonpayment of accounts receivable;  risks of inventory  obsolescence due
to  shifts  in  market  demand;  timing  of  product  introductions;  litigation
involving  product  liabilities  and consumer  issues;  attracting and retaining
qualified  management;  ability  of the  management  team to  overcome  problems
associated with changes in management; litigation filed by Global Natural Brands
due to the termination of their  management  services  agreement;  risk that the
transaction with Spectrum Naturals,  Inc., is not consummated;  and availability
of bridge financing.



                                       8
<PAGE>


New Applicable Accounting Pronouncements

Effective  July 1, 1998,  the Company  adopted the  Provisions  of  Statement of
Financial Accounting Standards (SFAS) No. 130, Reporting  Comprehensive  Income.
SFAS 130, which establishes standards for reporting and display of comprehensive
income and its components in the entity's financial statements. The objective of
SFAS 130 is to report a measure of all  changes  in the equity of an  enterprise
that  result  from  transactions  and  other  economic  events  of  the  period.
Comprehensive  income is the total of net income and all other non-owner changes
in equity.  SFAS 130 does not address issues of  recognition or measurement  for
comprehensive  income and its components  and,  therefore,  had no impact on the
financial  condition  or results  of the  Company  upon  adoption.  The  Company
currently  has  no  transactions   that  would  be  classified  as  elements  of
comprehensive income not reported in the Statement of Operations.

Effective July 1, 1998, the Company also adopted the provisions of SFAS No. 131,
Disclosures  about  Segments  of an  Enterprise  and Related  Information.  This
Statement  requires  reporting of financial and  descriptive  information  about
reportable   operating  segments.   Operating  segments  are  components  of  an
enterprise  about which  separate  financial  information  is available  that is
evaluated  regularly by the chief  operating  decision  maker in deciding how to
allocate  resources  and in  assessing  performance.  The  Company  believes  it
operates in only one business segment,  production and distribution of processed
organic  foods,  and has  already  substantially  complied  with any  additional
disclosure  requirements.  SFAS 131 does not address  issues of  recognition  or
measurement  in the basic  financial  statements,  and thus had no impact on the
Company's financial condition or results of operation upon adoption.

Related Party Transactions

During the quarter ended  December 31, 1998,  Global  Natural  Brands billed the
Company $9,290. However,  certain of these amounts are in dispute. These related
party  transactions  included  expenses for personal  expenses.  Global  Natural
Brands,  a shareholder  of the Company,  was a management  group retained by the
Company  through  October  1998 to  oversee  daily  operations.  The  management
services  agreement  with Global  Natural  Brands was  terminated on October 26,
1998.  Please see Item 1, Legal Proceedings of this report and Form 8-K filed on
October 29, 1998 for additional information.


                                        9
<PAGE>


                           PART II - OTHER INFORMATION

Item 1. Legal Proceedings
-------------------------

     Litigation

     On October  26,  1998,  the  Company  terminated  the  Management  Services
Agreement between it and Global Natural Brands,  Ltd.  ("Global").  On that same
day, Global, James F. Swallow, David J. O'Gorman, J. Bradley Barbeau, and Ronald
Balsbaugh (the "Global Group"),  employees of Global,  filed a complaint against
the Company, Charles Dyer, John Battendieri,  Charles Bonner, and Kenneth Steel,
as directors of the Company,  in the Santa Clara County Superior Court, Case No.
CV777541. The complaint includes claims for damages for breach of the Management
Services  Agreement between the Company and Global in the amount of $306,032.08,
plus other  unspecified  amounts,  unpaid wages, and injunctive relief to enjoin
the  Company  from  terminating  the  Management   Services  Agreement  and  the
employment of the Global Group and from refusing to pay Global and Global Group.
On  October  26,  1998,  the  Court  denied  Global's  and  the  Global  Group's
application for a temporary restraining order. On November 23, 1998, the Company
requested  mediation  under the Management  Services  Agreement.  On December 1,
1998, the Court denied  Global's and the Global  Group's motion for  preliminary
injunction.  On January 5, 1999, the Court denied  Global's  application  for an
attachment.  Global has also requested binding  arbitration under the Management
Services  Agreement.  The Company  intends to defend itself  vigorously in these
actions.

Item 2. Changes in Securities
-----------------------------

     None.

Item 3. Defaults Upon Senior Securities
---------------------------------------

     None.

Item 4. Submission of Matters to a Vote of Security Holders
-----------------------------------------------------------

     None.

Item 5. Other Information
-------------------------

     Charles Dyer  resigned  from the Board of Directors as of November 30, 1998
     to devote more time to his personal business. The seat remains vacant.

Item 6. Exhibits and Reports on Form 8-K
----------------------------------------

- Form 8-K/ filed October 29, 1998 to report the  termination  of the management
services agreement between the Company and Global Natural Brands, Ltd.


                                       10
<PAGE>


SIGNATURES

     Pursuant to the  requirements  of the Securities  Exchange Act of 1934, the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned, thereunto duly authorized.

Date: February 19, 1999

                                        ORGANIC FOODS PRODUCTS, INC.



                                        By: /s/ Richard R. Bacigalupi
                                           -------------------------------------
                                           Richard R. Bacigalupi
                                           Chief Financial Officer




                                       11