Swedish Market Sees Further Growth in Organic Categories

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Swedish Market Sees Further Growth in Organic Categories

Article Date: 01/04/2016 

 

Daisy Higgins, Nordic Marketing Assistant, Bord Bia- Irish Food Board

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The market for organic produce has been steadily growing in Sweden, and Sweden has amongst the highest consumption of organic foods in the EU. As of 2014, organic products account for 6% of all sales of food and non-alcoholic beverages in Sweden, second to Denmark which stands at 8%. The proportion of organic sales is largest within the coffee, tea and chocolate drinks segment, where sales are nearly 8%.

The organic KRAV label is well known in Sweden, with 93% of consumers recognizing its’ significance. KRAV certification is associated with consumer confidence in organic products sold in the Swedish market and KRAV standards can in some cases be stricter than the EU standards. Retail chains ICA Sverige and Coop are well established market leaders in organic produce, as is Swedish company Arla.

The fastest growth categories in the organic field include baby food and dairy. Organic baby food accounted for a 21% share of all baby food in 2014, at a value of almost €32.3 million. Euromonitor International forecasts that this figure will rise to €35.4 million this year. This report also highlights the significant increase in demand in the organic dairy category, anticipating that retail sales in Sweden will be worth approximately €146.7 million this year, an increase from €141.1 million in 2014. Market leaders Arla are experiencing a temporary shortage of organic butter to supply to the retail market, with demand so high that it is outstripping supply.

As the Swedish consumer mindset is centred on wellness, sustainability and ethically sourced food and beverages, the popularity of organic produce is set to continue to grow even further- with many more opportunities for organic producers to come!

For further information, please contact daisy.higgins@bordbia.ie



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