Friday, February 8, 2013

Turkey, poultry sales buck downward trend in UK organic food sales


    Turkey has been the bright spot in the UK’s organic food production over the last five years, with overall poultry production also bucking the market trend.
    Prior to the economic downturn, the UK organic food sector was growing strongly, however, over the five years to 2012-2013, demand within the market contracted by 5.5 percent per annum to stand at GBP1.64 billion (US$2.6 billion), reveals a new report.
    The main driver behind the overall decline has been a fall in multiple retail sales, which account for 71.4 percent of the total. A reduction in choice, lack of communication, and a lack of investment in own-label have been the key factors leading to this contraction.
    Yet in contrast to this, organic poultry sales rose by 5.8 percent over the period, while organic turkey sales surged by 56 percent. According to The Soil Association, the reason for this growth is that consumers are tending to buy organic for special occasions.
    The decline in UK organic food sales has resulted in a number of organic farmers converting to conventional farming methods. Nevertheless, over the next five years, the value of the UK organic is expected to grow by 4.7 percent per annum, as consumer confidence returns, to stand at GBP2.07 million in 2017-2018.

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