Fresh Produce Discussion Blog

Created by The Packer's National Editor Tom Karst

Wednesday, April 14, 2010

Organic sales suffer slump in UK

Organic sales suffer slump in UK

http://www.fruitnet.com/content.aspx?cid=6464&rid=1

Organic sales suffer slump in UK
Tom Joyce


Sales of organic fresh produce declined significantly in 2009, as consumers sought to tighten their purse strings during the recession

UK sales of organic food, drink and other products slumped by 12.9 per cent in 2009, according to the Organic Market Report 2010, released today at the Natural and Organic Products Europe show in London.

The biggest losers were organic fruit and vegetables, as well as organic meat and bread, which traditionally have the highest price differential in comparison with their conventional equivalent, the Guardian reported.

Sales of home delivery organic fruit and vegetable boxes also diminished, by 9.8 per cent, while supermarkets saw sales of organic fruit and vegetables dwindle by 14.8 per cent.

Overall, organic sales for 2009 stood at £1.84bn (€2.09bn), down from a record high of £2.1bn (€2.38bn) in 2008, according to the report, which is produced annually by the Soil Association.

More positively, the report suggests that consumer confidence is at last returning, with growth of 2-5 per cent predicted for 2010.

Peter Melchett, the Soil Association’s policy director, commented: “It has been a tough year for the organic market, but we have seen the businesses that are most committed to communicating the many real benefits of organic food and farming to the public perform best. Confidence is now returning, and with the growing recognition of the need for environmentally sustainable production systems that are less reliant on fossil fuels, we are confident that the organic market, having weathered the recession, will return to growth.”

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