Sales of organic grocery products climbed by 4.9% last year to £1.95bn – outperforming the non-organic grocery market as a whole, which contracted by 1%
Confirming the organic sector's third consecutive year of growth, the Soil Association's Organic Market Report 2016 attributes the success to innovation by a host of new suppliers, and strong online availability. The shift in shopping patterns away from out-of-town retailers towards smaller stores also favours organics.
Supermarkets now account for 70% of organic sales, down by 10% from a decade ago, representing a £200m switch. Particularly strong increases were found in the catering sector (up 15%) and box schemes and online sales (up 9%).
Soil Association Chief Executive Helen Browning noted that while demand looks set to continue to grow in the coming year, potential supply shortages in some sectors, notably arable, are a cause for concern. In particular, more production of organic feed for livestock is needed. Read more about Sustain's support for organic food and farming here.
Published Friday 26 February 2016
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