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World: Growing sales of organic foods in 2017, report


The global sales of organic foods are expected to continue the positive trajectory, with most growth envisaged in North America and Northern Europe, according to Organic Monitor.

Organic food sales in the US and Canada are predicted to surpass US$50 billion for the first time in 2017.

The market share of organic foods is also expected to approach 7-10% in the US, Germany, Switzerland, Denmark and neighboring countries.

With growth in organic farmland slowing, supply shortfalls are expected.

Fairtrade will be expected retain its position as the second largest eco-label for food products, however fragmentation will continue: more fair trade labels and standards are envisaged.

As will be shown in 2017 editions of the Sustainable Foods Summit, other eco-labels are gaining traction in specific product categories; for instance, Rainforest Alliance for agricultural commodities, and Marine Stewardship Council for seafood.

In addition, the market share of sustainable sourced ingredients is expected to rise.

About 20% of all coffee is now produced according to some sustainability scheme.

The share of sustainable sourced tea, cocoa, vanilla and sugar is expected to increase as large companies – such as Barry Callebaut and Givaudan – make ethical commitments.

Meanwhile, metrics are likely to become prominent in the sustainability programs of food and ingredient companies.
Whilst carbon and water footprints are still the most popular metrics, expect to see more metrics for energy, resource usage, waste, and social parameters.

More natural and organic food companies are envisaged to make carbon neutral and zero waste pledges.

Organic Monitor notes that a greater investment is envisaged in ingredient supply chains to provide transparency and to reduce risks of food fraud and adulteration.

Non-GMO labelling schemes are expected to continue to gain popularity in North America, although the GM labelling bill has been passed.

Retail sales of Non-GMO Project Verified food sales are predicted to exceed US$20 billion in 2017.

As food waste rises on the sustainability agenda, more food companies and retailers will make waste reduction pledges.

Food by-products will get greater recognition as a raw material and become a source of new products.

ReGrained (USA) is an example of a sustainable food enterprise innovating using such raw materials.

Lastly, the adoption rate of sustainable materials, such as bioplastics, is expected to rise.

More natural and organic food companies are likely to adopt such materials as they look to reduce their packaging impacts.