Industry Analysis & Industry Trends
Until the recession hit, demand for organic food was strong. Organic food is moving from niche to the mainstream, with the major supermarkets stocking more of their shelves with organic products and increasing their own-brand variety of organic items. Consumers are demanding food that is considered more ethical, more environmentally friendly and healthier.
IBISWorld estimates revenue will contract at an average 3.5% per annum over the five years through 2011-12 to £1.78 billion. After strong growth from 2004-05 through 2006-07, industry revenue contracted over the following three years as the recession took hold of the UK economy and consumers traded down to lower-price food. Industry revenue is anticipated to pick up again as the UK economy slowly starts its recovery... purchase to read more
Industry Report - Industry Products Chapter
The term organic refers to a method of farming and food production. The use of fertilisers and pesticides is restricted, crop rotation is used and animal welfare is taken into account. Antibiotics are not used, except in cases where animals are sick. Processed food must comprise over 95% organic raw materials. Organic food has become more popular over the past decade, as it has moved from niche to mainstream markets.
Consumers are buying organic products for a variety of reasons, including taste, animal welfare, health and environmental concerns. Reflecting this trend, supermarkets are increasing the number of lines of organic products. Supermarkets have also focused on introducing own-label organic products at lower prices to increase accessibility for consumers... purchase to read more