Solid results for BioFach and Vivaness 2010
Posted - February 28, 2010
Solid results for BioFach and Vivaness 2010
By Warren Beaumont
About 43,500 trade visitors (2009: 46,771) defied the crisis and streamed into the exhibition centre in Nürnberg from 17–20 February for BioFach and Vivaness, the annual get-together for the global organic market, according to the organizers NurnbergMesse GmbH. The international share of visitors was 38% again with buyers from 121 countries, mainly from Germany, Austria, France, Italy, the Netherlands, Poland and Switzerland. The 2,557 exhibitors (2009: 2,733), two-thirds of them international, were very satisfied in view of the high quality visitors. 85% of the BioFach exhibitors and even 97% of the Vivaness exhibitors expect good follow-up business, according to the results of a survey by an independent institute. These figures are up 12 and 16 percentage points respectively on the year before – clear proof of an optimistic view of the future. Exhibitors spoken to by Organic & Wellness News noticed a fall in visitor numbers, while the majority were satisfied with contacts made or business achieved.
“The organic market over the past four days at the exhibition proved that this sector has retained its impetus,” says Claus Rättich, member of the management board of NürnbergMesse. “The trend to organic and ecologically sustainable consumption is uninterrupted. Periods of slower growth offer an opportunity for taking stock and preparing joint future concepts, which provide the best conditions for sustainable development of the market and its annual get-together. We were particularly pleased about the great political and media attention attracted by Organic + Fair, the Theme of the Year in 2010.”
With more and more customers focusing their consumption on quality and values, the basis for this is organic, and fair production and trading conditions are other vital aspects. The exhibition duo BioFach and Vivaness was geared to Organic + Fair in 2010, with 52 exhibitors and around 100 product presentations reflecting the variety of the Theme of the Year.
Almost 8,000 participants again used the 180 events at the BioFach Congress and the six special forums to exchange views on the market with special emphasis on the fairness and sustainability aspects. The Fair & Ethical Trade Forum alone attracted some 750 interested visitors.
Vivaness 2010: World market leaders and new discoveries
Fairness and sustainability were also key issues at Vivaness: “The visitors specifically asked about the added value of our products this year. Fair trade and sustainability for raw materials and for packaging are very decisive values today,” says Dr. Alexandra Vogel, director public relations, i+m Naturkosmetik Manufaktur, Berlin. “Buyers are more aware of labels and how natural ingredients are obtained”, says Geysa Rosa Belem, general manager of Brazilian personal care firm Arte dos Aromas. Exhibitors and visitors were eager to come to the booth of Brazilian firm Beraca, one of the leading suppliers of ingredients and natural formulations from the Amazon, exhibiting under the umbrella from Organics Brasil, a government sponsored promotion program.
At Vivaness, the international platform for natural personal care and wellness, 183 manufacturers from 21 countries presented their products. Germany with 88 manufacturers heads the statistics, followed by France (29), Italy (16), Great Britain (12) and Austria (8). Next year, the international organic sector meets in the Exhibition Centre Nuremberg from Wednesday to Saturday, 16–19 February 2011.
At BioFach Congress: Sophisticated consumers demand more
Posted - February 27, 2010
At BioFach Congress: Sophisticated consumers demand more
By Warren Beaumont
A major market trend is that consumers are becoming more sophisticated. Originally, consumers were buying organic food for health reasons and ecological reasons. However, consumers today are becoming better informed. They still care about the environment and today, climate change has made the environment more important. They are also concerned about the chemicals in products and are buying more natural products that are ‘free from’ additives, synthetic colorings and preservatives.
“Consumers are also asking where the product is coming from, where it is grown, if it is ethically sourced. They also want to buy products that are in season, that are locally grown. They’re asking about the carbon footprint of products, and don’t want to buy a product that has been flown halfway across the world.
These themes and the trends of over production; discounters driving down prices and consumer price sensitivity; industry consolidation; more sophisticated consumers demanding more from organic products such as sustainability, fair trade and ecological packaging, were part of one of the key presentations made at the BioFach Congress this past February at ‘The World of Organic Agriculture – Statistics and Emerging Trends’ presented by Helga Willer of the Research Institute of Organic Agriculture FiBL and editor of this annual report and book since 2000; Amarjit Sahota, of business research & consulting firm Organic Monitor, UK and IFOAM’s executive director Markus Arbenz.
“So, what we are seeing is that organics is only part of the equation, when consumers are buying organic foods they want more, they are looking at sustainability and sustainable values”, says Mr. Sahota. “Some of the pioneers of this industry adapted to that and realized that organic is no longer good enough, especially if discounters like ALDI are setting a very low price for organics. Apart from price, you need to compete on other values and these companies are highlighting their products with attributes such as sustainable values - fair trade, ethical sourcing, carbon neutral, local sourcing, promoting biodiversity, ecological packaging, energy usage, reducing waste.”
Growth in organics over the past nine years is quite significant, despite the downturn in 2008, with market growth rates expected to recover in countries such as the UK and Germany.
“Growth has been much lower than in previous years, with only 10% in 2008, while growth has been 235% over a period of nine years (to nearly US$51bn in 2008), that is very significant,” Mr Sahota said. “Sales of organic foods are still concentrated in Europe and North America and represent 97% of global sales. The USA has the largest market for organic food and drink sales, followed by Germany, then the UK, France and Italy.
“In terms of categories, today we’ve seen increases in production of grains and different crops, while most sales of organic food and drink products in almost every country are still coming from fresh products - fruit and vegetables, which represent about 30% of sales; fresh dairy – milk, yohgurt, cheeses; meats, poultry beef, pork; then beverages – juices, soy, tea and coffee; followed by other products such as baby foods and processed foods”, says Mr. Sahota.
“What we tend to find is that fresh and healthy products are the most favoured by consumers and that consumers who eat fresh and healthy foods tend to buy organic foods more than those who buy processed foods.”
Looking at the sales data by regions, the European market was worth about $US26 billion, a slower growth than in previous years, with the largest markets being Germany, France, Italy, Switzerland, and the UK.
“After many years of under supply, we’re now seeing overproduction of organic fruits, vegetables, meat and dairy”, says Mr. Sahota. “Here in Germany, the discounters came in and are selling organic products at very low prices. Consumers are becoming more price conscious in buying food and organic products, while the average price of organic foods over the last 18 months has gone down”.
In the United States private labels have become very important. The leading brand of organic food is O Organics, private label from Safeway, which made over $US400 million in sales in 2008. “What we are also seeing is consolidation, at the producer level, at the wholesaler level, as well as at retailers.
In Asia, Mr Sahota said the market was worth just under $US1 billion in 2008, with Japan the main market. “Major trends there are that consumers are becoming more interested in organic foods,” he said. “However, Asian consumers tend to be more price conscious; they are interested in organic foods but are not always ready to pay a premium. We have seen the market concentrated in the richer countries of Japan, South Korea, Singapore and Taiwan.”
Mr. Sahota also warned of more consolidation, which has been seen in Europe and North America. “We’re going to see some mergers and acquisitions, some companies will leave the sector and close, as the industry is not as profitable as they expected it to be,” he said.
Organic companies are increasingly adopting fair trade practices and now launching the first certified organic and fair trade products marketed as ethical products, a growing trend also in cosmetics.“The certification agencies are recognizing this by adopting some of these sustainable values. Now consumers are demanding more from organics and manufacturers are adopting sustainable practices and certification agencies are really responding to that and this is the way this industry has evolved.”
Euro-Nat: Partnering Bolivian quinoa for 20 years
Posted - February 11, 2010
Euro-Nat: Partnering Bolivian quinoa for 20 years
By Angela Mallaroni
In 1988, entrepreneur Didier Perreol, discovered quinoa at a casual encounter during an exhibition in Geneva. He was looking for a unique cereal product to stand out from his 75 product line his firm Euro-Nat had recently introduced to natural health food stores in France.
Impressed with the grain, Mr Perreol went to Bolivia to meet with ANAPQUI, the only cooperative of small quinoa producers in the country at the time. With his first 500 kg order of Royal Quinoa, Mr Perreol went back home with the commitment to introduce quinoa to France. The emblematic company brand Primeal was born, and an intensive communications campaign followed.
Primeal Royal Quinoa was a success. It was versatile, easy to prepare and mix in many recipes and inspired Mr. Perreol and others to publish quinoa cookbooks. For the next ten years Euro-Nat imported quinoa from the producers in Bolivia and the Primeal brand entered every natural health food store in France. In 2001, Euro-Nat started distribution of quinoa products to major supermarket chains under private label.
To develop a stable project with constant delivery and traceability of the best quinoa available, Mr Perreol made a further commitment: to set up shop in Bolivia itself. In 1997, he founded Jatariy, (‘stand up’ in Quechua), in Oruro, as sister company of Euro-Nat to overlook production, collection, cleaning and packaging of the grain to be exported to France.
Quinoa demand made the price soar. It increased 300% in 2008. Long-term agreements with the producers can be more complicated, as there are many new buyers. Now, consumers in Bolivia can scarcely buy quinoa, while producers sell to all foreign markets.
Quick gains led farmers to plant quinoa in fields or areas not suitable for it, while neither rotating nor properly fertilizing fields, with soil deterioration, falling quinoa quality and plummeting yields.
All products offered by Euro-Nat are organic certified. Mr Perreol is also a founding member of Bioequitable, association established in France since 2002, to promote organically raised and fair traded products independently certified.
Under this scheme, the price to quinoa producers is fixed in agreement with the communities involved, at a higher rate than the conventional market price. Euro-Nat offers additional incentives in bonuses for quinoa grown in the highlands as opposed to the flats.
In the past three years, Jatariy has been working with Vets Without Frontiers to assist farmers raising llamas and alpacas, supplementing farmers’ income. The animals provide manure for fertilizing the quinoa fields.
The company has invested in other interesting community projects. In 2006 it contributed to launching the first radio station in Uru Chipaya language, allowing citizens of the small, Bolivian town of Chipaya to listen to radio broadcasts in their native language for the first time.
Jatariy is also active in a partnership with the BOLIVIA INTI association to provide solar powered stoves and reduce use of wood as fuel; cooperation with Sumax Waksay, for a health care mobile facility; and philanthropic actions such as donations of powder milk and dried foods for public schools.
Jatariy has 37 employees, exported 1,500 tonnes of quinoa in 2009 with a total annual income of 4 million USD. Of the more than 400 products under the brand Primeal, 40 include quinoa.
Over 80 percent of the 200 quinoa producers working with Jatariy have been with the group for 12 years. In France, Euro-Nat employs 84 people and reports an annual income of 53 million euro for 2009. Euro-Nat is also a holding group that acquired the name EKIBIO last year. With a total of 175 employees the holding reported a total turnover of 65 million Euro for 2009.
As result of 20 years committed to promote quinoa , Mr Perreol has built a solid cooperation in Bolivia and France. Currently Mr Perreol and his son Olivier, as export manager, plan to increase their presence in Belgium, Switzerland, Italy, Spain, and Britain. Canada and Japan are also countries of interest.
In Bolivia, Jatariy will diversify and offer black quinoa which is rich in lithium, and red, not only the white variety of Royal Quinoa that has been the one most appreciated in the market due to its larger-sized grain. The company will focus on maca as well. Cooperation was established with the Bolivian firm Naturalcos, which produces and exports the line Maca Spirit.
Another product of interest is stevia, following the EU market and particularly France opening the door for its import. Other grains like canihua and amaranth have interest in the market, and although not as high as quinoa, they have potential as ingredients for food products. After 20 years of commitment, Mr Perreol is still impressed with quinoa the ‘Mother Grain”, the people and the land where it grows.
Fair trade, ethical food support grows
Posted - February 1, 2010
Fair trade, ethical food support grows
By Warren Beaumont
Nearly a third or 30 percent of UK shoppers say they have specifically purchased locally produced food over the last month, double the number in 2006, according to new consumer research just released by UK-based food and grocery analysts IGD.
Support for ethically produced foods in general has withstood the pressures of an 18-month recession and is in fact growing, despite the tough economic conditions. When asked about food they have specifically purchased over the last month, shoppers responded: 30 percent locally produced food (up from 15percent in 2006); 27 percent Fairtrade products (up from 9 percent); 18 percent products with high animal welfare standards (up from 11percent).
Joanne Denney-Finch, chief executive, IGD, said: “These figures prove what we have been saying throughout the recession – shoppers are looking for both value and values. They are not simply looking for cheaper food in tough times; they also expect the grocery industry to support their moral and ethical values.”
Drilling down into reasons for supporting local food in particular, most said that it was fresher, but the biggest rise over the last few years has been support for the local economy: 57 percent said they purchased local food because it has not travelled as far and is therefore fresher; 54percent wanted to support local producers and farmers (up from 28 percent in 2006); 34 percent wanted to support local retailers (18 percent in 2006) and 29percent wanted to keep jobs in the local area (up from 14percent)
IGD also asked shoppers what improvements they would like to see to their food and grocery shopping experience. Once again, support for locally produced food was up, with 31percent saying they would like more local products available to them, compared with 12 percent in 2005. One in five (20 percent) would like a farmers’ market or farm shop to be established nearby, up from 15 percent in 2005.
Germany still leads the pack
Posted - January 30, 2010
Germany still leads the pack
Based on a report produced by Dr. Klaus-Juergen Holstein, Ein Herz fuer BIO magazine
Germany still represents the biggest organic market in Europe, with potential for growth, followed by France and Great Britain. Organic sales account for 6.5% of the total food sales in Germany, 3.4% in France and 2.2% in Great Britain.
Compared to the other two countries, the German food market is generally low-priced, including organic food. The German organic sales concentrate mainly on fruit and vegetables, supplements and wellness food from rice cakes to vegetarian spread, and on dairy products.
Regarding channels of distribution, at the end of the 1990s small specialist shops dominated with over 40% of organic sales. Today, the 2000 specialist shops account for only 23% of total sales. Supermarket chains with around 40,000 outlets account for 35 %, and 19% of sales go through discount-markets, which with 10,000 retail shops account to 40% of total food sales.
Specialist shops do not have a well developed structure yet.There are only two large chains , Alnatura and Denn´s. The leading organic seller is tegut. Wth only 300 shops, nearly 20% of the retailer’s annual turnover is organic food.
Sales of organics are reported higher in smaller outlets, with a 9.4% increase compared to 1% for the general food sales growth. Many small-sized German supermarkets are manager-owned within the food chains Edeka and Rewe. At Edeka some regional offices in the South of Germany buy organic food directly from regional wholesalers or producers. At Rewe management has a more national centralized purchasing operation.
Germany’s best known organic brands started as a combination of an organic umbrella or brand and wholesale operations such as Biozentrale with Gut & Gerne, Rila with Rinatura and Rapunzel/Biogourmet. The smaller supermarkets normally sell a range of about 12,000 products, 400 – 1200 of which are organic quality, while the larger retailers offer a selection of 20,000 to 30,000 products, with up to 3000 in organic quality. Maximum stock capacity per outlet is about 14,000 products, which means many products have to be delivered directly to the shops. Over 60% of organic products are distributed by wholesalers.
The main consumers of organic food in Germany are baby boomers 50+. The younger generation find organics too expensive and not attractive enough, while the 30 + generation, more into the “feeling good”, trend, is turning into the most avid advocate of organics. Buying local continues to be a strong motivator in general and health concerns are the main reason for buying organic.
During the current financial global crisis the German organic market has remained strong and stable, except in the consumption of dairy products. While there is high price pressure on all vegetables, products such as coffee, wine and preserves reported sales increase. The trend of organic products, offering good value, continues.
Irupana: building a sustainable model of social enterprise
Posted - January 25, 2010
Irupana: building a sustainable model of social enterprise
By Adriana Michael
With a jeep, 4,000 USD and two ideas, entrepreneur Javier Hurtado Mercado founded Irupana Andean Organic Food S.A. in 1985. First, he wanted to market natural and organic certified products from small indigenous producers in Bolivia. Second, he wanted to make available ancient forgotten nutritious foods. After working for several years with NGOs, Javier and his wife Marta Cordero realized that the only way to help peasant farmers was to set up a distribution business to bring products directly to the buyers.
Until 2004, the firm supplied mainly the domestic market with over 120 natural foods and a distribution network of 400 outlets. Opening a franchise followed, currently with 18 natural food shops that offer coffee, a variety of Andean cereals and baked goods, pasta and honey.
A tender bid from the government (2000-2004) allowed Irupana to offer a nutritious breakfast with quinoa to feed over 60,000 students from public schools. Instead of refined imported wheat for cheap bread, the children discovered a delicious and nutritious local staple.”Those four years were perhaps the most gratifying” says Mr. Hurtado.
Interest in quinoa increased gradually. Health related circles in Europe and the USA spread the word of its nutritional benefits. Irupana acquired new processing plants in 2006. Quinoa exports rose from 5 to 20 tonnes, offering a steady income to counter an unstable domestic market.
In 2008, food scandals around the world, consumer dissatisfaction with big agro-food manufacturers and demand for gluten-free foods drove Royal Quinoa sales even further. Last year, the farmers’ price for quinoa rose from 40 to 112 USD. That year Irupana was the number one exporter of Bolivian Royal Quinoa.
Mr. Hurtado attended BioFach to sell his value-added products. “It is an event to connect producers of raw materials from developing countries with trading and processing firms from industrialized nations. The international cooperation is oriented to strengthen a rigid North –South exchange”, says Hurtado.
Helping farmers become entrepreneurs
“Over the years we understood that to incorporate the small Bolivian organic farmers into the global economy, they needed subsidies”, says Mr. Hurtado.”They had to learn how to increase land for organic production and to get certification, and technical assistance to set up internal control systems for harvesting and warehousing, along with small agricultural machines and biological pest controls”. To fulfill these needs in a more efficient way, Irupana created its own NGO in 2007: El Instituto Bartolina Sisa.
The Institute immediately embarked on some interesting ventures. For example, Bolivia’s Altiplano offers little fuel options except wood from sparse forest. To control further erosion from cutting trees, the Institute supported a project to introduce solar powered stoves. The Institute has also studied local nutrition. The additional quinoa income has lead families to buy processed foods. Like consumers in other parts of the globe, to save on time and effort, local families also wanted access to ready-to-use foods. The Institute now supports initiatives to educate locals to eat healthier. There are plans of a retail operation for quinoa-derived foods, at subsidized prices, under management of the quinoa farming communities.
Although today Bolivian families have a more stable disposable income, fuelling demand for natural and healthier foods, Irupana aims to find new markets for finished lines. Currently, red, black and white Royal Quinoa and amaranth are available in grain, flakes, flour and puffed, packed for retail under private or own label. Another goal is to invest in technology and development of new products to reach foreign markets with value-added foods, such as energy bars with quinoa, canihua and amaranth - all gluten free.
Mr. Hurtado started with two ideas, which have materialized. But his vision goes further: “Our goal is to consolidate Irupana as a cooperative enterprise with 33 percent of shares open to our suppliers, employees and executives, 34 percent for the promoters and 33 percent open to financial investors.”
Mr. Hurtado has worked tirelessly to develop a model of organic production that preserves the environment, while encouraging farmers to become actively involved entrepreneurs in the process. A jeep, 4,000USD and two ideas to help farmers have already brought big dividends.
Hope for Haiti restoring the soil
Posted - January 21, 2010
Hope for Haiti restoring the soil
By Adriana Michael
What happens when a country has no trees left and its soil has been depleted with intensive farming, a high density population and poor governance? Look at Haiti. Our hearts go out to the people of this Caribbean nation. The recent earthquake is the latest in a series of problems which have left the country in a very challenging position.
Haiti is part of a tropical island shared with the Dominican Republic. Its land and mountains were once covered with at least 60 percent lush rainforest. Now it is deforested with 9 million inhabitants, 80 percent of whom are unemployed or living in slums and extreme poverty.
A dramatic history, political oppression and government corruption, lack of literacy, a growing population concentrated in one small geographical area with no access to basic services and external debt, have turned Haiti into the poorest country in the Western hemisphere.
Soil erosion is disastrous in this mountainous country. Haiti has no internal source of fuel except wood. For the past 200 years people have been cutting the trees of its rainforest without replanting. Currently over 98 percent of its land is deforested. With no trees, the remaining soil is washed away during the rainy season out into the Caribbean Sea.
Without its soil Haiti has also lost the means to feed itself and must import over two thirds of its food, while thousands of people in rural communities end up in Port-au-Prince with no work.
Providing water for the community is a major challenge. Only a few enjoy running water and sewerage systems.
The majority do not have access to potable water or toilets, leading to disease.
To get on its own feet, Haiti needs to be built on a new development model with a multi dimensional approach to solving its many problems. Where to start? Generating the structure to support sustainable agriculture is a solid base for long term positive social, environmental and economic change. Healthy soil retains and filters water resources, provides food and protects communities from flood and other natural disasters. Before the earthquake most funds from the continued international aid to Haiti focused on urban initiatives.
Knowing the causes of Haitian poverty is part of finding the right solutions. It helps people like us, the international organic community know where to focus our energies, resources, know –how and work attempting to lessen Haiti’s misery. This is an opportunity for organic and fair trade organizations and enterprises to join efforts and contribute in projects and initiatives that will bring real sustainable development to a nation neglected for so long. If you or your company would like to get more involved in Haiti, following are a couple of ideas.
The WASH Project: Use of human waste as fertilizer
Driven by a need to apply their knowledge helping the people of Haiti, three years ago Sarah Brownell and Sasha Kramer founded Sustainable Organic Integrated Livelihoods (SOIL), a non-profit organization dedicated to protecting soil resources, empowering communities and transforming wastes into resources. How could the much needed soil be recovered? With a well thought-out multi dimensional plan: Composting toilets to improve sanitation and agriculture.
Brownell is a mechanical engineer with a Masters in environmental engineering from Berkeley University and Kramer a Ph.D. in Ecology from Stanford University. Their rich knowledge and background and support from a strongly motivated team contributed to the successful launch of a water free ecological toilet. A pilot WASH Innovation Project with 25 indoor dry toilets and 4 public dry toilets began in 2008, in cooperation with Oxfam UK.
There are variations on the toilets, but the general idea is to separate liquid and solid wastes. The diluted liquid cargo irrigates fruit trees, while the solid waste is covered with sugarcane mash to improve the composting process and keep flies and odors away. Up to 600 gallons of solid waste is collected by each toilet and transported to a composting site where it converts into rich and safe compost, free of undesirable organisms after a year. The community can sell this compost to farmers who cannot afford any other fertilizers.
The WASH project works. There is high demand for more ecological dry toilets. Now that the latest earthquake has displaced over 400,000 Haitians from Port-au-Prince and huge tent cities are being prepared in open bare fields, SOIL could definitely contribute to the community and the environment. With more financial assistance, SOIL would generate more local jobs to build and deliver more toilets and offer an immediate solution that addresses simultaneously several social, economic and ecological problems. Now that is a sound sustainable project to support! To learn more about these dynamic and brilliant entrepreneurs and to help support the WASH project in Haiti visit www.oursoil.org
The 3M program More mangos certified more trees planted.
A couple of days after the Haiti earthquake, a message from organic certifier, teacher and volunteer John O’Malley Burns circulated among members of the Organic Trade Association, asking for help in protecting and expanding Fair Trade and organic certified mango plantations that he helped set up four years ago.
The Mouvman Moun Mango or 3M program is an initiative to produce Fair Trade Certified mangoes. It encourages small producers in different regions to plant and protect more trees as they receive a premium price. The harvest since the project started has been purchased by Whole Foods Market and the certification has also been covered by WFM and O’Malley. “Fairtrade mangoes at better farm gate prices is more money for the growers, who will see trees as more valuable, then they plant more mangos”, says Mr. O’Malley in Port-au-Prince.
“After so many years I continue to be amazed by the resilience of the people in Haiti dealing with the worst of catastrophes”, says Mr. O’Malley. “The informal sector has jumped back. They have re-established market places, sidewalk cookeries, moving about selling phone cards and cell phone recharge fees”. But Mr. O’Malley fears that without additional financial support the disasters will make it practically impossible to continue maintaining an Organic and Fair Trade certifiable grower group system in Haiti. “All hopes of exports of organic and Fair Trade mangos have been shattered, he says. “Life must go on, but establishing and implementing a long term plan that changes the way the country operates is key to a sustainable rebuilding”, says Mr. O’Malley. Contributions to help The Mouvman Moun Mango program are possible via Eco Ventures www.eco-ventures.org.
Support for more ecological toilets to solve major problems simultaneously and more organic and fair trade mango trees and other viable crops to generate more rural jobs while recovering the environment are definitely a way the international organic community could help Haiti now. To further discuss these and other options on how Haiti can restore the land and grow their own food or to share other initiatives we all could support, contact editorial@organicwellnessnews.com
Organics UK plans 1.8 million campaign to boost organic sector
Posted - January 15, 2010
Organics UK plans 1.8 million campaign to boost organic sector
By O.W.N. News Network
Organics UK is planning a 1.8 million pounds campaign over three years to promote organic food and farming and to encourage consumption of organic products with a major campaign launch in October 2010. Organic UK reached its initial target of 250,000 pounds funding per year in late 2009, and as of January 2010, had raised almost 300,000 pounds that is being matched with EU funding.
Campaign objectives are to increase the frequency of purchasing by communicating the benefits and values of organic food and reverse the 2009 decline in sales. The campaign will inform consumers about why they should buy organic products - how to identify organic products, what organic standards say and what the benefits of organic food production are.
The British organic campaign came about after Sustain, the alliance for better food and farming, agreed at the end of 2008 to take on the role of ‘promoter’ in the process of applying to the EU for funding the program. Organics UK project coordinator Catherine Fookes said the campaign, which will include press advertising, aims to drive a 15% increase in sales per year for the three years of the generic campaign between 2010-2013. While 90% of UK consumers buy organics, 11% of organic buyers account for 60% of total spending.
“We have an ambitious target, but one that is achievable. Our organic sector has had double digit growth for the last decade, and we are working hard to get back to those growth levels,” Ms Fookes said. “To date we have raised almost £300k which when matched with EU funding will give us £600k per annum to promote organics.”
The campaign will include a warm-up PR and digital campaign from January and then press advertising, PR and digital media from late 2010 that will target shoppers with the most potential to buy organics – women - aged 25 – 54 years (six million women in Britain are in this category). Ms Fookes said the campaign will encourage the heavyweight organic buyers to go back to pre-recession spending on organics, and the featherweight buyers to also increase their spending.
Sustain UK, Organic Trade Board, organic NGOs and organic businesses committed to the generic communications campaign. Sustain UK is co-coordinating the bid, along with a steering group of key organizations, including the Soil Association and the Organic Trade Board. Companies such as Alara, Green & Black’s, OMSCo, Organic Farm Foods, Organix, Produce World, Rachel’s, Yeo Valley and another 50 companies have made major pledges to the campaign. Look up the OrganicUK website www.organicuk.org
Arbio, Interbio harvest fruit of strong cooperation
Posted - January 15, 2010
Arbio, Interbio harvest fruit of strong cooperation
By Angela Mallaroni
The lifestyle in the picturesque south-west of France is largely built around culinary delights sourced from traditional family farming in Aquitaine and Midi- Pyrénées that offer a whole range of top-quality produce. But until recently few regional menus could be offered 100 percent in organic quality.
This is why both associations, INTERBIO for Midi-Pyrénées and ARBIO for Aquitaine joined efforts to create their common brand Bio Sud-Ouest. “We have the same idea regarding the importance to develop organic networks. We realize how close our regions are in the economic, geographic and cultural aspects,” says Patrick Grizou, organic producer and president of ARBIO. “Bio Sud-Ouest shows how much we want to cooperate in order to further upgrade the (organic) production area in the South West.”
Today, organic production in the two regions is reaching 100, 000 ha across 3000 farms, still not enough to cover all local industry needs. To cope with this lack of organic raw materials, many long term cooperation have started between processors and producers with the support of the regional governments and the National Organic Agency (Agence Bio): 20 new sourcing development projects are supported in this way. For example in the fruit sector, Bio Sud-Ouest is aware that 350ha of organic apple trees, 300ha of prunes and 250ha of tomatoes are requested for processors such as Vitagermine to produce baby food, Danival, Favols and Biolo’klock for fruit spreads and jams, and for Meneau, Vitamont and Fructivia for healthier juice and smoothies.
“After a long stagnation, new conversions to organic production are expected to be a record in 2009 and 2010,” adds ARBIO director Jerome Cinel. There were around 500 new farms certified in 2009 in the whole southwest. Assisting organic growth was the Grenelle de l’ Environnement policy of the French government in 2007, which aims to have organic foods in 20% of catering by 2012.
Sales turnover of processors and distributors rose 25% in 2007, 34% in 2008, and in 2009 growth of at least 30% is expected, higher than the national level thanks to the interregional cooperation, according to Mr. Cinel.
“Managing common inter-regional projects under the same development strategy, Bio Sud-Ouest will be able to offer a consistent local supply and processing chain”, says Magali Baine of ARBIO. Bio Sud-Ouest has now around 95 members with most processors based in Aquitaine, while the majority of producers are located in Midi Pyrénées. Members are farmer organizations like Les Amis de Juliet ®, Agribio Union, Biogaronne and single small to medium sized enterprises. A common goal is priority to local suppliers to ensure genuine high quality end products.
Today, over 1000 products from the region are available in organic quality from fresh oil of Biopress to beepropolis of Pollenergie, with original products like the pre cooked chesnuts of Inovfruit, the fermented soya based products of Sojami, the delicious pastries and biscuits of Patidelis and Moulin du Pivert…with a coffee please ! thanks to Destination and Café Michel. The restaurant and catering sectors are joining the distribution network to offer complete organic menus or meals for schools.
The formidable task over seven years developing bridges between producers, processors and distributors to plan and work together to bring to market a complete range of organic foods has paid off. With the creativity of their Chef , the following enterprises will share with visitors the experiences, tastes and flavours, under the Bio Sud-Ouest umbrella, while exhibiting at BioFach, February 17-20 in Hall 1: Agribio Union, Biogaronne, Biolo’Klock, Biopress, Cafés Michel, Danival, Destination, Favols, Fructivia, Inovfruit, Le Sojami, Les Amis de Juliet®, Meneau, Moulin du Pivert, Patidelis, Pollenergie, Vitagermine and Vitamont.
Mintel CPG Trend Predictions for 2010
Posted - January 5, 2010
Mintel CPG Trend Predictions for 2010
By O.W.N. news network
The trend experts at Mintel GNPD released their 2010 global Consumer Packaged Goods (CPG) predictions saying this year’s new products will recreate the familiar. “Post-recession, we don’t expect manufacturers to reinvent the wheel. Instead, we predict 2010’s new products will give shoppers something familiar paired with something new to better satisfy their needs,” said David Jago, director of Trends and Innovation at Mintel. “On retail store shelves, we expect today’s familiar megatrends - health and wellness, convenience, sustainability - to get a fresh, new makeover for 2010.” Here are the seven core trends that will impact global new product development as manufacturers try to pique interest in new launches while keeping shoppers comfortable.
1. Symbol overload: Consumers are hungry for nutrition facts. However, people feel confused and sceptical about different companies’ nutrition symbols. In the UK nearly half (45%) of consumers find nutritional labels too cluttered. In response, more manufacturers will opt for clean, clear facts on front-of-pack statements.
2. Sodium reduction: Poised as the next major health movement, sodium reduction is finally ready to take hold. Indeed, 35% of UK consumers now consider low salt content when buying food. The key difference, said David Jago, is that “sodium reduction is being pushed by food companies and health organisations, not by consumers.” This could mean slow adoption of the ‘less salt’ mantra by shoppers, even as the food industry moves ahead.
3. Local gets stretched: In today’s society, for many shoppers buying only local goods is a pipe dream. However, people still want products with recognisable origins and those that haven’t been shipped too far. In the UK 46%, and 43% in the US, buy products from their own country when they can. In 2010 the definition of ‘local’ will expand, becoming more practical for major companies to use and for mainstream shoppers to purchase.
4. Simple made special: Ready to get a kick out of buying ‘ordinary products like soap and juice? Well in 2010, chic packaging and premium positioning will turn today’s grudge purchases into enjoyable events. The recent trend towards boutique-inspired packaging highlights how manufacturers will make the mundane a little more special next year. (If embarking in this trend, make sure your packaging reflects the concepts of sustainability and “re-use before recycle”).
5. Colour coding for convenience: Cluttered supermarket shelves make it hard to find our favorite cereal flavor and shampoo variety. To help shoppers make faster choices, in 2010 more manufacturers will colour-code their products. In the UK, 45% of consumers claim to compare products by their labels often and nearly two-thirds of Americans (64%) say they want colour-coded packaging, which also helps brands stand out. (Germany’s retail market offers a great example of this trend, and it works).
6. Iconic budget brands: Private label ‘brands’ are starting to look a lot more like brands. As consumers cut spending because of the recession, smart marketers ramped up promotions for their private label lines. Many shoppers now equate private labels with national brands and value them as such. In 2010, low cost, high quality private labels will thrive.
7. Gen Y cleans up: Generation Y (born between 1977 and 1994) consumers now make up 21% of the global population. While they grew up with tried and trusted established brands, this generation is now calling out for products of their own. Looking at the cleaning sector, there aren’t a wealth of Gen Y-focused cleaners on the market at present - but expect that to change in 2010. New products will highlight simplicity of use and quick, easy results to appeal to younger shoppers. (US based brand Better Life by Clean Happens offers a great example).
