Organic Food Feels The Burn

The figures show that all areas of the organic food market have suffered, although eggs have been hit worst. Organic bread is down by a sharp 31%, and fruit sales have fallen 16.5%.

This is yet another trend retailers will have to accommodate and work creatively with as they strive to retain a positive, value for money shopping experience for consumers. Several supermarkets, including Co-op and Asda, have reported the drop which seems to have been quite unanimously recognised.

However, for deli owners focussing on local and regional goods, The Soil Association, the leading organic organisation, attributes this sales drop to the growth of independent stores selling locally sourced organic food for home delivery.

TNS insists, however, that it is simply a more straightforward case of a decline in organic sales due to consumers’ being more budget-conscious. A small
reduction of the organic producer’s stake, collectively, in the grocery market has also been seen - from 1.4 to 1.3. This halts an encouraging trend in strong growth over consecutive years.

There is a perception that organic foods are better for the consumer and the environment due to the absence of chemical pesticides, but this perception is not clear. There is a mere vague sense that “organic” equates with consumer virtue as the issue is surrounded by so many other factors. The ethics versus money debate for suppliers, retailers and consumers; health alarms; the recession; the pluralism of brands; personal politics and values. There is currently an agony of choice which precludes full understanding of the benefits and possible drawbacks of going organic. Greater definition and transparency is needed, but at the moment the recession is calling the shots for most customers.