Indonesia repealed National Agency for Drug and Food Control (BPOM) Regulation No. HK 00.06.52.0100 of 2008 on the Control of Organic Processed Food, and added new regulations for organic processed food (Regulation of the Head of NA-DFC No.1 of 2017 on Organic Food); the update includes a chart of materials allowed for use in processed organic foods.
The organic market in Switzerland grew 5 percent in 2015, and the Swiss lead in per capita spending on organic at about €260. Fresh products, valued at €1 billion, are the top selling category, and eggs and bread are the top selling products.
Scan data from Nielsen show that sales of organic products in supermarkets and department stores were up 20 percent in 2015 to €870 million. Meanwhile, AssoBio, Italy’s organic industry association, estimates organic product sales in totaled €4.2 billion in 2015, with €1.5 billion of that attributable to exports.
Based on the exports that are tracked by the limited set of Harmonized Tariff Schedule codes dedicated specifically for organic products, US organic exports are up a half of a percent in 2016, and totaled $547.6 million. US organic imports are valued at $1.7 billion. Leading organic exports include: fresh apples, fresh grapes, and lettuce. Meanwhile, the Organic Trade Association continues to advocate for additional Harmonized Tariff Schedule codes dedicated specifically for organic products.
Key food, nutrition and consumer trends compiled by FoodNavigator include:
- Japan’s population is aging, as 36 percent of the population will be age 65 or over by 2040.
- Superfoods and functional foods continue to garner consumers’ interest. Examples of superfoods include spirulina, hemp seeds and teff. Meanwhile, functional foods that address sleep, stress, eye health and joint health are some of the emerging products.
- Healthy beverage sales are expected to grow. For example, sales of organic dairy are expected to have a compound annual growth rate (CAGR) of nearly 15 percent through 2021.
- Interest in sports nutrition is growing, and nearly 15 percent CAGR until 2022 is expected. Products of interest include protein powders and nutrition bars.
The 2017 edition of the study “The World of Organic Agriculture” (data per end of 2015) published by Research Institute of Organic Agriculture (FiBL) and IFOAM – Organics International estimates the world’s organic market at US$81.6 billion, up from US$59.1 billion in 2010. Land used for organic agriculture is also up worldwide, with 50.9 million hectares, or 1.1 percent, of the world’s agricultural land devoted to organic production. The United States is the leading market, with 47 percent of the world’s organic retail sales, followed by Germany (11 percent), France (7 percent) and China (6 percent). Meanwhile, Switzerland, Denmark and Sweden are leaders in per capita consumption of organic products, based on retail sales.
Retail wholefood specialty retailers had increased turnover of 1.3 percent in 2016, according to surveys by Klaus Braun. Within the wholefood specialty category, organic supermarkets recorded growth of 1.6 percent in 2016, compared to 9.8 percent in 2015. Braun anticipates growth is likely to stay relatively low due to competitive pressures.
In order to curb health problems that can stem from a diet of western-style junk foods, the Torba province of Vanuatu plans to impose restrictions on import of western foods in favor of locally grown organic and sustainable foods. Tourism bungalows have been ordered to serve only locally grown organic foods to guests, and the province seeks to become the first organic province in Vanuatu by 2020.
Scotland experienced 5 percent growth in the market in 2015, the third year in a row for growth there. Scots are about 11 percent of all organic shoppers in the UK, and organic meals are available in 48 percent of the schools.
Agence Bio estimates that growth in organic sales was up 20 percent in 2016, and was valued at €6.9 billion. Specialty food retailers, which are expanding beyond Paris, are one of the driving forces in the market. In addition, land in organic cultivation has risen to six percent of all agricultural land.
OrganicShop, one of the largest online organic retailers in India, offers more than 11,000 items. Over a million customers have shopped there, and boosted turnover 250 percent in the first half of 2014. Online trade in India is valued at more than US$23 billion, and is expected to grow in double digits through 2020. Meanwhile, India’s domestic market for organic products is garnering attention at trade shows like BioFach India/India Organic.
Jan 17, 2017
The Organic Trade Board in the United Kingdom and Organic Denmark will work together to promote organic food in both countries, thanks to a European Union grant valued at €10.4 million. Designed to boost retail sales, increase employment in organic agriculture and raise awareness of the benefits of organic food and drink, the three-year project will feature a shared creative concept tailored to suit each country’s market. The campaign is likely to target those aged 25-45 who are not purchasing a broad range of organic products regularly.
Organic vegetable sales were up 10 percent from January to November 2016, and shoppers bought 8 percent more. Overall, organic vegetables are 6.7 percent of the vegetable market. Demand is up for cucumbers, peppers and zucchini, in particular. Discount retailers have seen demand for organic vegetables rise 27 percent.
An opinion poll conducted on behalf of the Federal Ministry of Food and Agriculture found that most people (62 percent) prefer to do most of their shopping at big supermarkets, but only six percent prefer doing most of their shopping at organic stores. Those who prefer to shop at organic stores are more likely to be either young people or over 60. The poll of about 1000 people over age 14 also found that more people are seeking food that is quick and easy to prepare compared to the previous year, and that people are increasingly concerned about animal welfare.
Health Canada’s 2016 survey found that consumers remain skeptical of genetically modified foods, as they were in the previous survey. Sixty-one percent of respondents have a negative impression of genetic modification, and 78 percent want GMO foods to be labeled. Meanwhile, 76 percent said that price is the most significant factor in buying food.
In a poll with its members, the Scottish Organic Producers Association found that 90 percent do not want changes in the regulations for organic foods, and 83 percent want access to the European market to remain open.
Organic acreage is up 18.4 percent from 2014, with about two million hectares in organic cultivation, setting a new record. Organic acreage represents 8.3 percent of the agricultural land in the country on average, with the Andalucia region leading the way with 23 percent of the acreage devoted to organic farming. Meanwhile, organic consumption is lower than much of Europe, at € 21.7 per capita in Spain compared to € 47.4 on average in Europe.
Over 12 months of talks between the European Commission, the Agriculture Committee, and Parliament concerning proposed revisions to the European Union’s organic production regulations have been suspended until further notice, reports organic-market.info. Sticking points include: who bears the responsibility for pesticide residues, cultivation under glass and seed. Meanwhile, organic farmers and organizations, including IFOAM-EU, called for a stop to EU regulations changes since the proposed changes do not reflect the needs of organic farmers.
Dec. 8, 2016
The Global Organic Textile Standards (GOTS) conference in Bangladesh drew 170 attendees. Of the 3800 GOTS-certified facilities worldwide, 400 are in Bangladesh. One key result of the seminar sessions is that sustainable production to established international standards is a key to long term business success.
Wessanen, one of the leading companies in the organic and natural food market in Europe with operations in France, Belgium/Netherlands/Luxembourg, United Kingdom and Germany, acquired Biogran, a leader in the Spanish organic food market. Over the last few years, Biogran has recorded strong growth in both health food and grocery stores in Spain with, net revenue of €27 million in 2015.