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Quick Stats

Quick Stats

Organics Dashboard From Passport

  • Organic packaged food and beverages in Italy is led by Granlatte Societá Cooperativa Agricola arl, with a value share of 10.1% in 2021, followed by Rigoni di Asiago Srl with a value share of 8.0% and Ecor NaturaSi SpA with a share of 4.5%.
  • The country ranks sixth globally in terms of market size, and inside the top 20 for per capita spend on organic food and beverages.

 

  • Organic products in Italy registered a market value of US$1,938.9 mn, representing about 3.2% of global demand, with a per capita expenditure of US$32.72 in 2021.
  • The organic market is forecast to record a CAGR of 5.1% 2021-26 as the health and wellness trend in Italy becomes increasingly entrenched in consumer lifestyles.
Qualitative Analysis

Qualitative Analysis

Quick Facts
  • Organic packaged food and beverages in Italy recorded an increase of 4.7% in 2021, registering a market size of US$1,938.9 million.
  • Growth in organic packaged food was fuelled by organic dairy, which accounts for over a quarter of the market and recorded an 8.1% expansion in 2021.
  • Retail value sales of organic beverages grew by 2.1% in current terms in 2021 to US$177.8 million.
Market Trends
  • In 2021, organic dairy was the largest category within organic packaged food in Italy, with retail value sales of US$432.9 million. The category growth was largely driven by demand for organic milk and organic hay milk, healthier and premium alternatives to traditional milk. Local producer Granarolo dominated organic milk in 2021, offering three different alternatives: organic semi-skimmed long-life milk, organic semi-skimmed milk, and organic whole milk. All of Cooperativa Latteria Vipiteno Società’s organic milk since 2018 has come from cows that are fed only hay, which creates a fuller and more natural flavour than traditional milk. Organic hay milk also provides a high supply of omega-3 fatty acids, which cannot be produced by our body and must therefore be absorbed through food. Such supplements are rising in popularity as the health and wellness trend grows stronger in Italy, accelerated by the Covid-19 pandemic, thus boosting sales of organic hay milk and the entire organic dairy category.
  • Organic beverages registered a smaller expansion of 2.1% in 2021, with demand for organic hot drinks stalling when compared with the previous year. In 2020, with consumers spending more time at home over the pandemic, they had more occasions to consume such beverages. Organic soft drinks remained the largest category within organic beverages in 2021, accounting for 56.5% of total category sales. Organic fruit/herbal tea also performed well in 2021, driven by the rising health and wellness trend in Italy. Demand for organic tea rose during the lockdown periods when consumers opted for these products due to health and relaxation purposes, which led to an increase in product availability and brand variety.
Competitive Landscape
  • Organic packaged food in Italy is led by Granarolo SpA, with a value share of 11.1% in 2021. Rigoni di Asiago Srl ranks second (8.2% market share in 2021), followed by Alce Nero SpA (4.2% market share in 2021). From a category perspective, organic olive oil has enjoyed growth in recent years – Costa D'Oro dominates in this category and has gained increased brand awareness as an official partner of the national football team. Competing organic oil producer Benvolio offers a wide range of products, with a focus on sustainable packaging and nutritional characteristics. The company also produces seed oils for cosmetics and personal care, as well as peanut oil, coconut oil, corn oil, and sunflower oil. 
  • Ecor NaturaSi Spa led the way in organic beverages in 2021, accounting for 8.8% of category value sales. Almaverde Bio Italia Srl, Società Consortile ranks second (6.4% market share in 2021), followed by Consorzio Ctm Altromercato (5.2% market share in 2021). Organic juice witnessed a rise in popularity in 2021, despite rising costs. Manufacturers are increasingly investing in low-sugar and more natural ingredients and sustainable packaging and options. “100% organic” juices are in demand however they have witnessed stunted growth due to high associated prices. Thus, they remain unaffordable to the mass consumer group, especially in light of the Covid-19 pandemic, which led to an average decrease in disposable incomes. Shrinking disposable incomes have also led consumers to turn to private labels variants which have a more competitive price point and are of high quality. Popular private label brands making strides in the organic beverage category include Coop and Esselunga. Coop held the highest retail value brand share (7.1%) under organic beverages in 2021.
Prospects And Growth Opportunity
  • Organic packaged food is forecast to record a CAGR of 4.9% over 2022-2025. The Covid-19 pandemic led to a rise in home cooking. Pasta was one of the most popular dishes cooked at home, being a staple in Italian cuisine. The health and wellness trend led to consumers opting for organic variants of pasta, most popularly opting for launches from Barilla and Rana. Post-Covid-19, consumers’ habits are expected to become even more health-orientated, leading to further interest in organic pasta. Organic pasta is also becoming more mainstream as unit prices decrease. 
  • Organic beverages are forecast to record a CAGR of 6.1% over 2022-2025. Private label organic beverages were an affordable choice during the Covid-19 pandemic; however, they are forecast to lose share to premium branded products, especially within the organic 100% juice category. The latter is of superior quality and private label products will struggle to retain their high quality as the cost of raw ingredients increases over the coming years. This will lead an increase of average unit prices and some consumers may decide to opt for branded products if the price is not notably different.
General Health And Wellness Trends
  • The overall health and wellness category is forecast to record a CAGR of 2.3% over 2022-25. Health and wellness was already an ongoing trend in Italy and the pandemic is expected to encourage consumers to continue making healthier choices. Consumers increasingly opted for non-alcoholic beverages even pre-pandemic and this trend is expected to continue, however at a slower growth rate, due to the economic hindrances and uncertainty caused by the Covid-19 pandemic. The relatively modest forecast CAGR is due to the fact that certain products, like functional/fortified or free from, are significantly more expensive than standard non-health and wellness and if Italy’s economy deteriorates again this will affect consumers’ capacity to pay for such products.
  • The expected introduction of the sugar tax in 2022 is set to drive growth in the better for you category as sugary drinks will become more expensive. Naturally healthy beverages are expected to see a slowing growth rate as it is perceived to be less beneficial than other health and wellness categories. Currently this is the largest category, recording sales of US$7,384.1 million in 2021, and will therefore heavily impact the overall moment of health and wellness beverages in Italy over 2022-25.
General Economics And Demographic Landscape

Economy: 

  • Following a rebound of 6.5% in 2021, Italy’s real GDP growth is expected to register 4.0% in 2022.
  • Inflation in Italy is forecast to increase to 2.3% in 2022 from 1.9% in 2021.
  • The public debt-to-GDP ratio in Italy declined slightly from a peak in 2020, reaching 155% in 2021, yet remained one of the highest globally.

 

Population demographics: 

  • The population of Italy dropped from 59.6 million in 2020 to 59.3 million in 2021 and is expected to drop further to 58.6 million in 2025.
  • Italy is currently the fastest shrinking country in the world in terms of population, due to low fertility rates, driven by lack of opportunities in the labour market, limited rental housing, and a low level of public welfare available to young people.
  • The median age in 2021 was recorded at an all-time high 45.9 years, with Liguria having the highest median age of 49.2. 

 

Income & expenditure: 

  • Per capita gross income in Italy is forecast to increase by 25.3% in real terms over 2021-2040. 
  • Over the period 2020-2030, Italy is projected to improve by two positions and rank 46th out of 84 countries in Euromonitor International’s Wealth Index
  • Income inequality is estimated to decrease over the long term and remain moderate by global standards.
Data

Data

Organic Packaged Food And Beverage Data

Data type

Unit

2018

2019

2020

2021

2022

2023

2024

2025

CAGR
(18-21)

CAGR
(22-25)

Health & wellness products consumption [1]

USD million

16,533

16,867

17,360

17,678

18,111

18,505

18,928

19,387

2.3%

2.3%

Organic packaged food and beverages consumption

USD million

1,570.5

1,685.0

1,852.0

1,938.9

2,044.7

2,147.8

2,254.2

2,368.1

7.3%

5.0%

Organic packaged food consumption

USD million

1,421.6

1,524.3

1,677.8

1,761.1

1,856.5

1,948.1

2,042.3

2,143.3

7.4%

4.9%

Organic beverages consumption

USD million

148.9

160.6

174.2

177.8

188.3

199.7

211.9

224.8

6.1%

6.1%

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

%

9.5

10.0

10.7

11.0

11.3

11.6

11.9

12.2

5.0%

2.6%

 

[1] Health and Wellness Definition: Health and wellness is the aggregation of organic packaged food and beverages, fortified/functional packaged food and beverages, naturally healthy packaged food and beverages, better for you packaged food and beverages and food intolerance products. The above definition and more can be referenced from the definitions table at the end of the report.

Economic And Demographic Data

Data type

Unit

2018

2019

2020

2021

2022

2023

2024

2025

Total population

million

59.9

59.8

59.6

59.3

59.0

59.9

58.7

58.6

% Middle and upper class of total population

%

24.5

24.4

24.3

24.4

24.4

24.4

24.4

24.5

% Population aged 65+

%

1.2%

1.2%

1.3%

1.4%

1.4%

1.5%

1.5%

1.6%

% Population aged 0-14

%

1.6%

1.6%

1.6%

1.6%

1.6%

1.6%

1.6%

1.6%

% Population with higher education degrees

%

14.7

15.2

15.6

16.1

16.4

16.7

17.0

17.2

Average number of children per household

children

0.7

0.7

0.6

0.6

0.6

0.6

0.6

0.6

GDP per capita

USD per capita

44,585.2

46,373.2

45,920.6

49,171.3

50,559.6

51,279.6

51,803.6

52,357.7

Consumer expenditure per capita (US$)

USD per capita

27,165.4

27,870.8

27,509.5

29,100.0

29,695.5

30,113.8

30,374.0

30,648.6

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

USD per capita

3,625.8

3,733.4

3,888.5

4,028.4

4,035.7

4,077.2

4,113.8

4,146.2

 

Retailer And City Data

Top 5 Cities By Population

Data category

Rank

City/retailer

Population
(millions)

Top cities by population (2021)

1

Milan

4,991.3

Top cities by population (2021)

2

Rome

4,201.9

Top cities by population (2021)

3

Naples

3,310.7

Top cities by population (2021)

4

Turin

1,748.7

Top cities by population (2021)

5

Palermo

998.2

 

Top 5 Grocery Retailers By Sales

Data category

Rank

City/retailer

Top grocery retailers by sales (2021)

1

CONAD - Consorzio Nazionale Dettaglianti Scrl

Top grocery retailers by sales (2021)

2

Coop Italia scarl

Top grocery retailers by sales (2021)

3

Selex Gruppo Commerciale SpA

Top grocery retailers by sales (2021)

4

Esselunga SpA

Top grocery retailers by sales (2021)

5

Crai Secom Spa

 

United States Department Of Agriculture Global Agricultural Trade System Data

Top 5 Export Commodities To Italy

Year

Country

Rank of
Product/Commodity

Product/Commodity

Export Value (US$)

2021

Italy

1

Organic Fruit Prep

15,977

2021

Italy

2

Organic Coffee Roast Not Decaf

9,984

2021

Italy

3

Organic Asparagus Fr/Ch

2,800

2021

Italy

Total

Total Organics*

28,761

2020

Italy

Total

Total Organics*

0

2019

Italy

1

Organic Coffee Roast Not Decaf

29,964

2019

Italy

Total

Total Organics*

29,964

2018

Italy

1

Organic Coffee Roast Not Decaf

59,891

2018

Italy

2

Organic Cherry Tomato Fr/Ch

2,800

2018

Italy

Total

Total Organics*

62,691

 

Note : Total organics is the sum of all exports to a country within a year

Definitions

Definitions

Term

Definition

Health and Wellness

Health and wellness is the aggregation of organic packaged food and beverages, fortified/functional packaged food and beverages, naturally healthy packaged food and beverages, better for you packaged food and beverages and food intolerance products.

Organic packaged foods and beverages

This category includes packaged food & beverages that are certified organic by an approved certification body. Organic production is based on:

• A system of farming that maintains and replenishes soil fertility without the use of toxic and persistent pesticides and fertilizers.
• Organic food & beverages are minimally processed without artificial ingredients, preservatives or irradiation.
• The use of GMOs (Genetically Modified Organism) is prohibited. “Certified Organic” means the item has been grown according to strict uniform standards that are verified by independent state or private organizations.
• Depending on the country, such products are called ‘organic’, ‘biological’ or ‘ecological’: For organic products to be included under Euromonitor definitions, the organic aspect needs to form part of positioning/marketing of the product. This is an aggregation of organic baby food, bakery, confectionery, dairy, ice cream, oils and fats, ready meals, rice, sauces, dressings and condiments, snack bars, soups, spreads, sweet and savory snacks and other organic food.

Note that fresh food products or individual ingredients are not included in this definition.

Compound annual growth rate (CAGR)

The compound annual growth rate (CAGR) is the average annual growth rate over a specified period of time. For instance, the CAGR consumption of from 2018 – 2021 will be the average growth rates across these three years.

USDA GATS data clarification

The data presented in table 2.4 represents the dollar values of the top 5 organic commodities as well as of the total organic exports of the trade partner for the period 2018-2021 as per the United States Department of Agriculture’s Global Agricultural Trade System, a database consisting of international agricultural, fish, forest and textile products trade statistics dating from the inception of the Harmonized coding system in 1989 to present.

Policy Information

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.

Organic Regulations and/or Standards

Name(s) of Regulation and/or Standard:

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

This consolidated version repeals and replaces previous organic regulations and contains the basic legislative act plus amendments and corrections that set the rules on organic production and labeling of organic products: EU 2018/848 (pdf in English) 

Key secondary acts not included in consolidated EU 2018/848 include: 

  • Retroactive recognition for the purpose of conversion, the production of organic products and information to be provided by EU countries: EU 2020/464 (pdf in English)
  • Conditions for authorization and lists of authorized products and substances for use in organic production: EU 2021/1165 (pdf in English)
  • Supplemental rules on the official control, traceability and mass balance checks for operators and groups of operators: EU 2021/771 (pdf in English)

A full list of basic legislative act and secondary acts are available here

Date of Implementation: 1992

Regulation and/or Standard Scope:

EU standards cover crop, livestock, processing, and certification of groups of operators. 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, sprouted seeds, chicory heads, wine, mushrooms, and salt. 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

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. EU requires that imported products must be from countries that have been recognized by the EU (third-countries) and certified by recognized control bodies (certifiers); or countries with bilateral equivalency arrangements (Canada, Japan, Korea, New Zealand, U.S.); or countries with equivalency agreements (Chile, Switzerland, UK).

List of third countries and the list of control authorities and control bodies recognized for the purpose of importing organic products into the EU: EU 2021/2325 (pdf in English)

Requirements have been established for importers, operators responsible for the consignments, first consignees and consignees for the import of organic and in-conversion products into the EU.

Documents and notification required EU 2021/2307 (pdf in English)

Beginning February 3, 2020, port of entry health authorities will only endorse a certificate of inspection if the certifier issued it prior to export. Certain sections of the certificates (boxes 13, 16, and 17) may be filled in with provisional information, since certifiers can not verify all of the data before the product is exported. The provisional information must be confirmed/updated within 10 days, and before the certificate can be endorsed at the port of entry.

Exports from the U.S. to EU must adhere to the EU procedures and require an EU Certificate of Inspection (COI). A USDA-accredited certifying agent must complete an electronic COI through the European Union's Trade Control and Expert System (TRACES) link before the product leaves the U.S. Certain edits to the COI may only be made within 10 days of issuing the original COI.

EU Trade in Organics

Certification and Accreditation

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

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

The EU has unified the control systems that Member States and control bodies implement for investigations, non-compliance, mediation, testing, reporting, exclusion from organic sale, emergency treatments and appeals.  Required reports, records and certificates are submitted in electronic format through the use of the Organic Farming Information System.  

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

Requirements for recognition of control authorities and control bodies: EU 2021/1698 (pdf in English)

Use of Organic Farming Information System and templates for annual reports: EU 2021/1935 (pdf in English)

Record keeping and declaration requirements from operators and groups of operators EU 2021/2119 (pdf in English)

List of control authorities and control bodies for equivalence 

Control bodies in the European Union

Additional Information

FiBL Country reports
U.S. International Trade Administration

USDA’s GAIN Report Italian Food Retail and Distribution Sector Report 2018 (2018)
USDA’s GAIN Report Italy Food Processing Ingredients (2021)
USDA’s GAIN Report Italy Food Service - Hotel Restaurant Institutional (2021) 
USDA’s GAIN Report Italy Retail Foods (2021)
USDA’s GAIN Report Italy Food and Agricultural Import Regulations and Standards Export Certificate (2021)
USDA’s GAIN Report Food and Agricultural Import Regulations and Standards Country Report (2021)
USDA’s GAIN Report Italy Exporter Guide (2021)

USDA’S GAIN Report Update on Changing EU Import Conditions for Composite Products (2022)
USDA’S GAIN Report COVID-19 Boosts Organic Food Sales in the EU (2022)
USDA’S GAIN Report European Commission Launches Public Consultation on the Revision of EU Food Labeling Requirements (2022)
USDA’S GAIN Report New EU Labeling Rules for Wines (2022)
USDA’S GAIN Report Continuing Good Prospects for US Organic Exports to the EU (2021)
USDA’S GAIN Report New EU Organic Regulation Entering Into Force in 2021 Regulatory Update (2020)
USDA’S GAIN Report EU Launches Consultation on Future Organics Action Plan (Sept. 2020)
USDA’S GAIN Report Food Labeling Initiatives in the EU Farm to Fork Strategy (2020)
USDA’S GAIN Report Pesticides Initiatives in the EU Farm to Fork Strategy (2020)
USDA’S GAIN Report Good Prospects for US Organic Exports in the EU (2020)
USDA’s GAIN Report Food and Agricultural Import Regulations and Standards Country Report (2021)
USDA’s GAIN Report Food and Agricultural Import Regulations and Standards Export Certificate Report Annual (2021)
USDA’s GAIN Report EU Food and Agricultural Import Regulations and Standards - Certification (2020)