Open to Imports

OTA estimates total organic market consumer sales of Italy at about $2 billion USD per year.

 

  • The total market size for organic packaged food and beverages in Italy in 2015 is US$1,445.7mn, making it the 6th largest market in the world by value.
  • Per capita spending on organic packaged food and beverages in Italy is US$23.8, which ranks as the 17th largest spending per capita in the world.
  • The largest company by sales in organic packaged food and beverages is Granlatte, which maintains 12% of total sales; it is followed by Idea Team Group and Andros. 
  • Organic packaged food and beverages in Italy will see strong year-on-year growth of close to 11% in 2015. This is much faster than the rest of the Western European region, which will experience more than 4% year-on-year growth in 2015.
     

Italy maintains a market size for organic packaged food and beverages of US$1,445.7mn in 2015, which is 4.1% of global category sales.
Within the Western Europe region, Germany, France, and the UK all surpass Italy in total value sales of organic packaged food and beverages.
Italy will experience moderate forecast growth of sales of organic packaged food and beverages, at 6.1% from 2015–2020.
 

QUALITATIVE ANALYSIS

Quick Facts

  • The total market size for organic packaged food and beverages in Italy in 2015 is US$1,445.7mn, making it the 6th largest market in the world by value.
  • Sales of organic packaged food and beverages are projected to grow in coming years, but annual growth rates will decelerate as the market matures and private-label products put downward pressure on unit prices.
  • Italian companies dominate the landscape, but some foreign companies have carved out small market shares.

Market Trends

Competitive Landscape

  • The organic food and beverages landscape in Italy is fragmented and competitive. 
  • Italian company Granarolo SpA is the leader in the organic food market, with an 11.4% share, and Italy-based Ecor NaturaSì SpA leads the organic beverages market with a 17.3% share.
  • Domestic players dominate the organic food and beverage landscape, but some foreign companies have managed to carve out small market shares.

Prospects and Growth Opportunity

  • Although growth in sales of organic food and beverages is projected in coming years, as the market matures and private-label products drive down unit prices, the annual growth rate will decelerate.
  • Sales of organic canned/preserved food are projected to grow at a faster rate than sales of other organic food categories, and organic green tea is projected to post the highest growth rate among organic beverage categories in coming years. 

General Health & Wellness Trends

General Economic & Demographic Landscape

Economy: 

  • After contracting in each of the previous three years, Italy’s real GDP grew by just 0.7% in 2015, fueled by cheaper oil prices, modest growth in investment, and a relatively stable political environment.
  • Real GDP is projected to grow by 1.2% in 2016, driven largely by a rebound in exports.
  • In 2015 unemployment in Italy was 11.9%. That figure is projected to fall to 11.3% in 2016.

Population demographics: 

  • In 2015 Italy’s population totaled 60.8 million, which represented an increase of 3.9 million over the figure for 2000. 
  • Italy’s population is rapidly aging, with the median age increasing 4.9 years, from 40.1 years in 2000 to 45.0 years in 2015. This ranks Italy as the third-oldest nation in the world, behind only Japan and Germany. 
  • Fertility rates are on the rise, but, at 1.4 births per female, are still below the replacement level. This rate is not projected to change through 2030. 
  • Recent population gains are due almost entirely to immigration, as more than 6 million immigrants currently reside in Italy, either legally or illegally. 

Income & expenditure: 

  • In 2015 per capita disposable income in Italy was US$20,005, and that figure is projected to grow at an average annual rate of 0.8% through 2030.
  • Total consumer expenditure has been falling in recent years, but is projected to grow at an average annual rate of 1.1%.

QUANTITATIVE ANALYSIS

Organic packaged food & beverage data

Data type

2012

2013

2014

2015

2016

2017

2018

CAGR
(12-15)

CAGR
(15-18)

                   

Health & wellness products consumption

14,309.9

14,148.3

14,367.3

14,609.4

14,786.0

14,980.4

15,157.9

0.7%

1.2%

Organic packaged food and beverages consumption

1,038.0

1,124.8

1,300.1

1,445.7

1,569.0

1,678.0

1,776.8

11.7%

7.1%

Organic packaged food consumption

961.3

1,047.7

1,221.8

1,366.5

1,489.1

1,597.4

1,695.3

12.4%

7.5%

Organic beverages consumption

76.7

77.1

78.3

79.1

79.9

80.7

81.5

1.0%

1.0%

Organic packaged food and beverages consumption as a % of total health & wellness products consumption

7.3%

8.0%

9.0%

9.9%

10.6%

11.2%

11.7%

-

-

Economic & demographic data

Data type

2012

2013

2014

2015

2016

2017

2018

               

Total population

59.4

59.7

60.8

60.8

61.0

61.1

61.3

% Middle and upper class of total population

37.6%

37.5%

37.5%

37.4%

37.4%

37.3%

37.3%

% Population aged 65+

20.8%

21.2%

21.4%

21.6%

21.9%

22.1%

22.3%

% Population aged 0-14

14.0%

14.0%

13.9%

13.8%

13.7%

13.6%

13.5%

% Population with higher education degrees

12.1%

12.4%

12.8%

13.1%

13.4%

13.7%

14.0%

Average number of children per household

0.4

0.4

0.4

0.4

0.4

0.4

0.4

GDP per capita

30,150.7

29,859.2

29,447.2

29,817.3

30,100.5

30,422.1

30,777.4

Consumer expenditure per capita (US$)

18,717.2

18,359.4

18,149.7

18,317.8

18,503.7

18,761.8

18,984.0

Consumer expenditure per capita on food and non-alcoholic beverages (US$)

2,666.2

2,634.8

2,582.1

2,635.9

2,667.9

2,705.1

2,733.8

Retailer & urban area data

Data category

Rank

Urban Area/retailer

Population
(mns)

       

Top urban areas by population (2015)

1

Milan

4.7

Top urban areas by population (2015)

2

Rome

4.2

Top urban areas by population (2015)

3

Naples

3.1

Top urban areas by population (2015)

4

Turin

2.3

Top urban areas by population (2015)

5

Bologna

1.0

Top grocery retailers by sales (2015)

1

Conad

-

Top grocery retailers by sales (2015)

2

Esselunga

-

Top grocery retailers by sales (2015)

3

Ipercoop

-

Top grocery retailers by sales (2015)

4

Coop

-

Top grocery retailers by sales (2015)

5

Eurospin

-

USDA GATS data

Rank

2015

2014

2013

2012

1

Coffee Roast

Coffee Roast

Coffee Roast

 

2

 

Cabbage

 

 

3

 

 

 

 

Policy Information

Government Agency(s)/Competent Authority

Authorized Government Agency(s): 

European Union (EU) Member States retain the authority to determine additional requirements for production within their country. They can also determine exceptions due to catastrophic circumstances, but cannot restrict access to products in compliance with EU regulations. In addition, the EC delegates most authority for the administration of organic programs to the Member States.

Agency(s) Contact Information: 

 

Organic Regulations and/or Standards

Name(s) of Regulation and/or Standard: 

The European Union has an Equivalency Agreement with the United States.

General requirements; repeal of previous organic regulations: EC 834/2007 (.pdf in English)

Detailed rules on production, labeling and control including its first amendment on production rules for organic yeast: EC 889/2008 (.pdf in English)amended by (EU) No 1358/2014 (see below).

Rules concerning imported products: EC1235/2008 (.pdf in English)
Feburary 2013 amendment concerning imported products: (EU) No 125/2013 (.pdf in English)

Rules on organic aquaculture and seaweed production - Amendment in 2009 - implemented in 2010: EC 710/2009 (.pdf in English) 
Organic aquaculture and seaweed production updates (EU) No 1358/2014 effective January 1, 2015.

Detailed rules on organic wine: Regulation No 203/2012 (web; in English)

Date of Implementation: 

1992

Regulation and/or Standard Scope: 

EU standards cover crop, livestock and processing. Farm and handling plans are required, as well as detailed record keeping and detailed livestock feed standards.  Specific standards are included for aquaculture, seaweed, yeast, bees, and mushrooms. Criteria for determining allowed materials include consistency with the objectives and principles of organic farming, and materials must be of plant, animal, microbial or mineral origin. Synthetic substances, however, may be used when they replicate the natural sources and when they are approved for organic production in the EU.

Imported Products Requirements

Imported Products: 

EU requires that imported organic products meet EU standards. Non-EU organic products must include country of origin labeling if they wish to use the EU organic logo. Use of the EU organic logo is not required for products from outside the EU.

Certification and Accreditation

Certification: 

The EC requires organic certification for all those involved in production and handling, including importers. EC requires ALL processing operations to be certified, even if those products are below the 95% threshold for the "Organic" label.

EC delegates the authority for investigations, non compliance, mediation, and testing, as well as reporting, exclusion from organic sale, emergency treatments and appeals to the Member States in accordance with their respective control system plans.

The EC allows private sector standards for the product categories, such as cosmetics and textiles, which are not fully regulated by the EC.  In the EU certifiers (control bodies) can require additional organic crop, livestock and processing standards in association with the use of their certification seal.

List of control authorities and control bodies operating in third countries 

Other control bodies

Accreditation: 

Each EU Member State accredits certification bodies.

Additionally, the EU vests the authority for exchanging information on "infringements and irregularities" (enforcement) to certifiers through the Member State control systems as the vehicle to remove non-compliant product from the marketplace.  However, it is not clear how, or when, an organic certificate can or will be revoked.

In addition to the EC organic regulations for certification and accreditation procedures, the requirements of EN 45011 and ISO Guide 65 for accreditation must be met.

Definitions

Review definitions of terminology included in this website.