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The Organic Market in France

 

 

It is impossible to deny that France has a well-established and broad organic food market, but its take-off in the mainstream retail industry over the last few years is stunning. This separate but parallel growth alongside specialist organic retailers is a true sign of how organic food is no longer a niche or alternative food ‘fad’. Indeed, it is arguably no longer a ‘fad’ at all.

Organic food is without a doubt one of the most important ‘trends’ or ‘waves’ in France today; 2018 saw the organic food market make a turnover of over €8 billion of which over €4 billion is in mainstream retail. 92% of responders in a study by Agence Bio/CSA at the end of 2018 said that they had consumed organic products over the last year whilst ¾ said they consume organic products once a month and 16% daily. Whilst organic F&B consumptions are noticeable amongst every age group, it is surprisingly popular amongst the 18-24s, generation Z who, despite their smaller financial means are (according to the Agence Bio poll) prepared to pay more money for products that they view as better for their health, cuisine, and environment. Older generations, on the other hand, are less likely to pay more for organic F&B due to the high costs; they do not view it as worth the money. *

Another sign of organic F&B’s growing importance in France is its significant mainstream retail presence, particularly in the private label sector which accounts for over 40% of the organic F&B market share. Mainstream retail is now the N°1 distribution channel for 80% of organic consumers and overall annual growth is 25% (23% for convenience and 33% for click&collect. This has pushed specialist organic retailers to innovate in order to compete as their growth ‘lags’ at 15%. For example, Naturalia’s new “Marché Bio” or Biocoop’s “Dada”.

In conclusion, no sector of the F&B industry has escaped the organic wave in France and it is on its way to becoming part of France’s mainstream. However, with a market in such flux, it is very difficult to predict the future.

SOURCES: LSA, Points de Vente, Le Figaro

https://mailchi.mp/90081930c0ea/international-food-news-july-578973