Market information
Thanks to Kantar Worldwide (formerly TNS) we are able to provide regular updates on what's happening in the organic market. We also provide the annual Soil Association Organic Market, the most comprehensive look at the entire UK organic market.
Market update 13 June
- Kantar data to 13 June 2010 confirms that the decline in the organic market continues to recede to a level of -8% for the 12 week year on year position (March '10 - June '10 position). This is giving much confidence that the market is heading for stability towards the end of this calendar year
- Some categories are already showing good signs of recovery such as Cider and some of the key staple foods areas such as Butter, Tea, Cereals, Pulses and Coffee are all showing year on year growth to 13th June '10. Many of the sectors which had previously shown steep declines are also having better sales currently
- Waitrose and Morrisons are the two retailers who continue to grow their share of organics.
Market update 18 April 2010
- Total grocery market has experienced a slowdown in 12 week period to 18th April 2010, ie value growth at 2% versus 52 weeks to 18th April 2010 at 3.8%.
- Organic sales are now showing a lower decline for the 52 weeks to 18th April,2010 at -11.5%. As the annual decline at end of 2009 was -13.8%, this clearly shows that the position continues to improve.
- Organic sales for 12 weeks to 18th April 2010 versus the previous year show a similar trend at -11.8%
- The Fruit and Vegetables category is showing a lower decline for 52 weeks to 18th April 2010 at -10.2% versus -13.4% for 2009. The Meat and Poultry category has also reduced decline slightly
- In 12 weeks to 18th April 2010. Waitrose and Morrisons are the only retailers to show increases in their share of organics. Waitrose increase is significant.
Organic market report 2010
The Soil Association predicts a modest market expansion of between 2% to 5% in the UK market for organic products in 2010. Despite the toughest economic climate for 20 years, our 2010 Organic Market report shows that the evidence from the early months of this year indicates clear signs of increasing confidence amongst consumers.
The 2010 Organic Market report also shows that sales of organic products in the UK fell by 12.9% in 2009 to £1.84 billion. In line with other retail sectors, shoppers spent less on organic food in the recession. In addition, leading retailers reduced organic ranges and shelf space.
The three biggest categories of organic food – dairy, fruit and vegetables, and fresh meat – saw supermarket sales fall by 6.5%, 14.8% and 22.7% respectively. In contrast, organic milk bucked the trend in dairy sales growing by 1%, with 2009 being the best year for organic milk sales on record, and organic baby food sales, resilient throughout 2009, grew by 20.8% passing the £100m mark.
Organically managed land area in the UK increased to 743,516 ha in January 2009 – up 9% on the previous year – and now represents 4.3% of UK farmland.
Further key findings in the report include:
- Over 60% of the UK’s biggest organic brands are planning for growth in the coming year
- Sales of organic food are still three times higher than in 1999 and over 50% higher then five years ago
- Tesco organic fresh produce sales are already growing. Tesco predict overall organic sales will increase by 1% in 2010 while Waitrose anticipates organic sales growth of 3-5%
- Organic box schemes fell by -9.8% while supermarket sales of organic fell by -12.2% and the independent sector by -17.7%
- Organic health and beauty products continued to grow rapidly with sales increasing by a third to £36m
- Sales of bread and other bakery items were one of the worst hit categories (-39.8%)
- The number of households buying some organic food fell only slightly in 2009 (from 88.9% to 88.3%)
- Organic products continue to attract shoppers from across the social spectrum, with groups that include manual and casual workers, pensioners, students and people on benefits accounting for 33% of the spend.
A summary report and the full report are available below, as are reports from previous years.
Previous reports