Health and Wellness Series – Organic packaged food trends in the United Kingdom

Note: This report includes forecasting data that is based on baseline historical data.

Executive summary

As the economy of the United Kingdom (UK) recovers from the pandemic, it is expected to experience continued growth at an average annual real rate of 1.6% over the 2022-2040 period and the business environment in the UK would remain competitive. However, rising inflation since the beginning of 2022 could force consumers to make choices to reduce household expenditures.

The UK organic packaged food market was valued at US$1.7 billion in 2021. This market grew at a compound annual growth rate (CAGR) of 4.7% between 2016 and 2021 and is expected to grow continuously at a CAGR of 4.0% during the 2021-2026 period and to be valued at US$2.1 billion by 2026.

Organic dairy products, baby food and confectionery were the top three categories in terms of retail value sales. In 2021, organic dairy products accounted for 30.8% of the UK total organic packaged food sales, with total retail sales of US$538.0 million, followed by organic baby food, accounting for 17.3% (US$302.0 million) and organic confectionery, accounting for 14.0% (US$244.7 million). In terms of growth rate, organic breakfast cereals saw the fastest growth at a CAGR of 11.8% between 2016 and 2021, with total retail sales of Can$65.3 million in 2021. Organic breakfast cereals are expected to see the fastest growth at a CAGR of 10.8% between 2021 and 2026, reaching total retail sales of Can$108.9 million by 2026.

Canadian organic packaged food exporters have preferential market access to the UK under the Canada-UK Trade Continuity Agreement (TCA), which entered into force on April 1, 2021. The Canada-UK Organic Equivalence Agrrangement (UKCOEA), which took effect on January 1, 2021, allows for Canadian products to be exported as organic products to the UK, provided that the products meet organic food requirements and certified as organic in Canada.

 

Market overview

The UK's economy bounced back in 2021, supported by economic stimulus measures and the easing of Covid-19 related restrictions (Euromonitor, 2022). However, since the beginning of 2022, the UK economy has been experiencing soaring Consumer Price Index (CPI) inflation, which rose from 7.0% in March to 9.0% in April and is expected to increase to 11% by October 2022 (the Bank of England, 2022). Inflation mainly reflects the increases in global energy prices and wholesale prices of certain agricultural commodities, which have been exacerbated by Russia's invasion of Ukraine (the Bank of England, 2022). As well, the price of tradeable goods also increased, mainly due to the impact of the pandemic, which shifted demand towards goods and disrupted supply chains (the Bank of England, 2022). However, Euromonitor (2022) projects that the Post-Brexit business environment in the UK would still remain competitive, supported by favourable access to financing, despite the increase in interest rates by the central bank.

With respect to trade, the UK's exports increased by 11.6% and imports increased by 15.4% in 2021 but the country remained as a net importer. Although the EU-UK Trade and Cooperation Agreement offers tariff-free trade between the parties, the UK's withdrawal from the European single market has contributed to substantial non-tariff barriers between the UK and EU member states. Thus, while the UK has gained flexibility in establishing relations with non-EU markets after Brexit, it also faces certain challenges with EU members, such as higher costs and less flexibility in regulatory conformity (Euromonitor, 2022).

The UK was Canada's largest agri-food, fish and seafood market in Europe and 8th largest in the world, with total exports valued at Can$859.7 million in 2021. Canadian organic packaged food exporters have preferential access to the UK market under the Canada-UK Trade Continuity Agreement (TCA). In addition, the Canada-UK Organic Equivalence Arrangement (UKCOEA) allows for Canadian products to be exported as organic products to the UK, as long as such organic products are certified under the Canadian Food Inspection Agency (CFIA) Canada Organic Regime. For more information, please, visit: export requirements and documentation under the UKCOEA and list of the CFIA accredited certification body in Canada.

Organic packaged food retail value sales by top 10 markets (based on 2021 sales) - historical and forecast retail value sales in US$ millions and growth
Country 2016 2021 CAGR* % 2016-2021 2022 2026 CAGR* % 2021-2026
World 34,933.6 50,815.4 7.8 54,475.1 70,304.2 6.7
United States 15,285.4 21,260.5 6.8 22,850.2 29,021.4 6.4
Germany 3,838.7 5,176.7 6.2 5,412.3 6,322.0 4.1
China 2,550.0 4,732.5 13.2 5,234.5 7,525.1 9.7
France 2,652.3 4,707.6 12.2 5,136.3 7,015.9 8.3
Italy 1,222.0 1,761.1 7.6 1,880.5 2,414.0 6.5
United Kingdom 1,392.1 1,749.2 4.7 1,810.7 2,124.1 4.0
Canada 867.5 1,237.7 7.4 1,360.7 1,857.9 8.5
Netherlands 760.4 1,100.3 7.7 1,159.7 1,501.7 6.4
Denmark 699.7 1,063.7 8.7 1,106.4 1,320.5 4.4
Sweden 673.3 905.0 6.1 943.8 1,168.0 5.2

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Historic data: 2016-2021

Forecast data: 2022-2026

Consumer characteristics

Health and wellness packaged food saw slow growth during the 2016-2021 period, at a CAGR of 3.9% and is expected to show similar growth trends during the forecast period (2021-2026), at a CAGR of 4.0%. Three health and wellness packaged food categories that better performed were 'free from', such as 'free from gluten' or 'free from meat', naturally healthy and organic categories. Especially, 'free from' category saw a strong increase in retail value sales at a CAGR of 13.7% between 2016 and 2021 and is expected to see more moderate growth at a CAGR of 8.0% during the forecast period. Organic packaged food sales increased by a CAGR of 4.7% during the 2016-2021 period and are expected to increase by a CAGR of 4.0% during the forecast period.

According to Euromonitor (2021), the pandemic has strengthened consumers' need to pursue a healthier lifestyle and this trend could continue at pace in the coming years. This consumer preference will continue to support growth of health and wellness packaged food, including organic packaged food. In addition, Euromonitor consumer survey (2021) highlighted that the main drivers of the growth of organic packaged food are healthy nutrition and sustainability, since organic products are considered better options for health and thought to meet environmental concerns. As evidence of this trend, about 57% of new organic packaged food products launched between January 2017 and June 2022 in the UK market claimed to be ethically and sustainably sourced based on the new product database by Mintel (June 2022).

Health and wellness packaged food retail value sales by product category - historical and forecast sales in US$ millions and growth
Category 2016 2021 CAGR* %
2016-2021
2022 2026 CAGR* % 2021-2026
Health and Wellness Packaged Food Total 15,882.4 19,247.8 3.9 19,878.4 23,373.6 4.0
Better For You 4,030.8 4,139.8 0.5 4,228.8 4,770.3 2.9
Fortified / Functional 4,369.3 4,895.9 2.3 5,007.7 5,403.4 2.0
Free From 1,523.1 2,900.4 13.7 3,104.5 4,265.9 8.0
Naturally Healthy 4,567.1 5,562.5 4.0 5,726.7 6,809.9 4.1
Organic 1,392.1 1,749.2 4.7 1,810.7 2,124.1 4.0

Source: Euromonitor International, 2016

*CAGR: Compound annual growth rate

Historic data: 2016-2021

Forecast data: 2022-2026

Market size

The organic packaged food market in the UK was valued at US$1.7 billion in 2021. During the 2016-2021 period, this market gradually grew at a CAGR of 4.7%, with exceptionally higher growth between 2019-2020 at 8.0%. However, with the pandemic overshadowing the economy, organic packaged food sales saw limited growth at 1.9% between 2020 and 2021.

The top three organic packaged food categories, in terms of retail value sales, were organic dairy products, accounting for 30.8% of the UK total organic packaged food market, with total retail sales of US$538.0 million in 2021, organic baby food (17.3%, US$302.0 million) and organic confectionery (14.0%, US$244.7 million). Between 2016 and 2021, the top three fastest growing organic packaged food categories were organic breakfast cereals, which expanded by a CAGR of 11.8% with total retail sales valued at Can$65.3 million in 2021, organic spreads (CAGR 9.9%, Can$70.7 million) and organic savoury snacks (CAGR 8.2%, Can$20.0 million).

With respect to the share of organic packaged food for its corresponding packaged food category, organic baby food accounted for a significantly higher share compared to other organic packaged food categories. For example, organic baby food represented 27.6% of the total baby food sales in the UK in 2021, whereas other organic categories accounted for less than 3% of their corresponding packaged food category, except for organic edible oil (8.0% of the total edible oil sales), organic soup (6.1% of the total packaged soup sales) and organic spreads (7.1% of the total spread sales) in 2021. Similar trends are expected to continue during the forecast period, while some of the organic categories, such as organic breakfast cereals, could represent a higher share.

During the forecast period, the UK organic packaged food market is expected to grow at a CAGR of 4.0% and to be valued at Can$2.1 billion by 2026. Organic breakfast cereals are expected to see the fastest growth at a CAGR of 10.8%, reaching total retail sales of Can$108.9 million by 2026. Savoury snacks are also forecast to show relatively higher growth than other organic packaged food categories, at a CAGR of 7.3%, reaching total retail value sales of Can$28.5 million by 2026.

Organic packaged food retail value sales by product category - historic retail sales in US$ millions
Category 2016 2017 2018 2019 2020 2021
Organic Packaged Food Total 1,392.1 1,449.9 1,519.4 1,588.9 1,715.9 1,749.2
Baby Food 236.3 245.6 264.9 280.3 291.7 302.0
Bread 49.9 50.7 52.5 54.5 53.2 55.0
Breakfast Cereals 37.4 40.1 46.8 52.1 59.7 65.3
Chilled Processed Meat and Seafood 23.2 23.8 24.6 25.9 30.0 29.1
Confectionery 193.2 199.9 207.0 218.9 234.2 244.7
Dairy 452.4 468.8 484.9 499.2 534.2 538.0
Edible Oil 44.3 47.7 49.0 49.9 59.2 57.6
Frozen Meat, Seafood, Fruit and Vegetables 9.6 9.7 9.9 10.2 12.0 11.5
Ice Cream 34.1 34.4 34.9 36.0 37.2 38.1
Ready Meals 71.9 74.5 76.8 79.1 85.5 87.3
Rice, Pasta and Noodles 28.7 29.3 29.8 30.0 34.8 32.5
Sauces, Dressings and Condiments 29.1 30.2 31.5 32.9 35.6 36.6
Savoury Snacks 13.5 14.4 16.7 18.0 20.2 20.0
Shelf Stable Meat, Seafood, Fruit and Vegetables 34.4 35.3 36.6 38.1 44.5 43.1
Soup 41.9 47.6 49.6 51.4 55.5 56.1
Spreads 44.2 48.3 51.9 57.1 69.6 70.7
Sweet Biscuits, Snack Bars and Fruit Snacks 47.9 49.7 52.0 55.1 58.8 61.4
Source: Euromonitor International, 2022
Organic packaged food retail value sales by product category - historical retail value sales growth (%)
Category Annual growth % 2020-2021 CAGR* % 2016-2021 Total growth % 2016-2021
Organic Packaged Food Total 1.9 4.7 25.7
Baby Food 3.5 5.0 27.8
Bread 3.4 2.0 10.2
Breakfast Cereals 9.4 11.8 74.6
Chilled Processed Meat and Seafood −3.0 4.6 25.4
Confectionery 4.5 4.8 26.7
Dairy 0.7 3.5 18.9
Edible Oil −2.7 5.4 30.0
Frozen Meat, Seafood, Fruit and Vegetables −4.2 3.7 19.8
Ice Cream 2.4 2.2 11.7
Ready Meals 2.1 4.0 21.4
Rice, Pasta and Noodles −6.6 2.5 13.2
Sauces, Dressings and Condiments 2.8 4.7 25.8
Savoury Snacks −1.0 8.2 48.1
Shelf Stable Meat, Seafood, Fruit and Vegetables −3.1 4.6 25.3
Soup 1.1 6.0 33.9
Spreads 1.6 9.8 60.0
Sweet Biscuits, Snack Bars and Fruit Snacks 4.4 5.1 28.2

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Packaged food sales in 2021 - in US$ millions and share of organic packaged food
Category Total packaged food Organic packaged food Share of organic packaged food (%)
Baby Food 1,094.4 302.0 27.6
Bread 5,098.8 55.0 1.1
Breakfast Cereals 2,863.7 65.3 2.3
Chilled Processed Meat and Seafood 8,602.5 29.1 0.3
Confectionery 11,987.5 244.7 2.0
Dairy 18,673.3 538.0 2.9
Edible Oil 717.3 57.6 8.0
Frozen Meat, Seafood, Fruit and Vegetables 4,608.6 11.5 0.2
Ice Cream 3,078.7 38.1 1.2
Ready Meals 8,792.1 87.3 1.0
Rice, Pasta and Noodles 2,265.9 32.5 1.4
Sauces, Dressings and Condiments 4,965.7 36.6 0.7
Savoury Snacks 8,537.8 20.0 0.2
Shelf Stable Meat, Seafood, Fruit and Vegetables 2,730.2 43.1 1.6
Soup 923.8 56.1 6.1
Spreads 991.2 70.7 7.1
Sweet Biscuits, Snack Bars and Fruit Snacks 4,621.9 61.4 1.3
Source: Euromonitor International, 2022
Organic packaged food retail value sales by product category - forecast retail sales in US$ millions
Category 2022 2023 2024 2025 2026
Organic Packaged Food Total 1,810.7 1,869.8 1,938.5 2,028.6 2,124.1
Baby Food 313.3 323.4 339.9 356.9 375.2
Bread 57.9 60.8 63.7 66.6 69.6
Breakfast Cereals 72.8 80.5 89.0 98.3 108.9
Chilled Processed Meat and Seafood 30.3 32.1 34.0 36.2 38.5
Confectionery 258.6 271.7 284.4 297.1 309.7
Dairy 547.6 554.5 562.9 583.9 605.2
Edible Oil 57.2 58.5 60.7 63.1 65.8
Frozen Meat, Seafood, Fruit and Vegetables 11.9 12.4 12.9 13.4 14.1
Ice Cream 39.7 41.2 42.7 44.0 45.4
Ready Meals 90.0 92.5 95.2 100.0 105.2
Rice, Pasta and Noodles 33.2 34.0 35.0 36.0 37.2
Sauces, Dressings and Condiments 38.4 40.2 41.8 44.1 46.6
Savoury Snacks 21.3 22.7 24.4 26.3 28.5
Shelf Stable Meat, Seafood, Fruit and Vegetables 44.9 46.9 49.2 51.8 54.9
Soup 56.8 57.3 57.6 59.2 61.2
Spreads 71.9 72.9 74.0 77.3 80.9
Sweet Biscuits, Snack Bars and Fruit Snacks 64.8 68.1 71.1 74.3 77.4
Source: Euromonitor International, 2022
Organic Packaged Food Retail Value Sales by Product Category - forecast retail value sales growth (%)
Category Annual growth % 2021-2022 CAGR* % 2021-2026 Total growth % 2021-2026
Organic Packaged Food Total 3.5 4.0 21.4
Baby Food 3.7 4.4 24.2
Bread 5.3 4.8 26.5
Breakfast Cereals 11.5 10.8 66.8
Chilled Processed Meat and Seafood 4.1 5.8 32.3
Confectionery 5.7 4.8 26.6
Dairy 1.8 2.4 12.5
Edible Oil −0.7 2.7 14.2
Frozen Meat, Seafood, Fruit and Vegetables 3.5 4.2 22.6
Ice Cream 4.2 3.6 19.2
Ready Meals 3.1 3.8 20.5
Rice, Pasta and Noodles 2.2 2.7 14.5
Sauces, Dressings and Condiments 4.9 4.9 27.3
Savoury Snacks 6.5 7.3 42.5
Shelf Stable Meat, Seafood, Fruit and Vegetables 4.2 5.0 27.4
Soup 1.2 1.8 9.1
Spreads 1.7 2.7 14.4
Sweet Biscuits, Snack Bars and Fruit Snacks 5.5 4.7 26.1

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Competition

The UK organic packaged food market remained a fragmented industry throughout 2016 and 2021, with no individual company recording a double-digit market share. Mondelez International Inc (Brand name: Green & Black's) continues to be the largest company, in terms of retails value sales, followed by Hain Celestial Group Inc (Brand name: Ella's Kitchen). While private labels continued to show a strong presence in the market, with total market share of 37.1% in 2021, its total market share has declined slightly since 2016.

Top 10 organic packaged food companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Mondelez International Inc 160.8 9.2
Hain Celestial Group Inc 108.0 6.2
Yeo Valley Farms (Production) Ltd 64.1 3.7
Hipp GmbH & Co Vertrieb KG 45.9 2.6
Hero Group GmbH 34.3 2.0
SHS Group 24.1 1.4
Kraft Heinz Co 18.0 1.0
Ecotone 16.4 0.9
Mars Inc 15.9 0.9
All Market Inc 13.4 0.8
Private Label 648.5 37.1
Artisanal 13.4 0.8
Others 586.3 33.5
Source: Euromonitor International, 2022

Distribution

Store-based retail channels continue to be the main outlets for organic grocery sales, especially led by hypermarkets and supermarkets. During the 2016-2021 period, sales by e-commerce grew at a CAGR of 8.1%, supported by diversified online grocery e-commerce options, such as online home delivery or 'click and collect' services offered directly by traditional retailers (for example, Sainsbury and Tesco) or via third-party delivery e-commerce platform (for example, AmazonFresh with Whole Foods, Aldi on Deliveroo, Weezy).

Distribution channels for organic packaged food in the United Kingdom - retail value sales in US$ millions and market share
Outlet type 2016 2021
Actual Share Actual Share
Total 1,392.1 1,749.2
Store-Based Retailing 1,291.3 92.8 1,600.8 91.5
Grocery Retailers 1,256.2 90.2 1,562.4 89.3
Modern Grocery Retailers 1,040.8 74.8 1,321.5 75.5
Convenience Stores 57.6 4.1 71.6 4.1
Discounters 32.2 2.3 51.8 3.0
Forecourt Retailers 19.9 1.4 25.0 1.4
Hypermarkets 466.2 33.5 585.7 33.5
Supermarkets 464.9 33.4 587.4 33.6
Traditional Grocery Retailers 215.4 15.5 240.9 13.8
Independent Small Grocers 169.3 12.2 207.4 11.9
Other Grocery Retailers 46.1 3.3 33.5 1.9
Non-Grocery Specialists 14.0 1.0 14.3 0.8
Non-Store Retailing 100.8 7.2 148.4 8.5
E-Commerce 100.5 7.2 148.4 8.5
Direct Selling 0.3 0.0

Source: Euromonitor International, 2022

Note: Actuals for some of sub-outlet types are unavailable. As such, the total of certain sub-categories may not equal to the total of their super-category.

Subsector Analysis

Organic Baby Food

The organic baby food market in the UK expanded by a CAGR of 5.0% during the 2016-2021 period, recording total retail sales of Can$302.0 million in 2021. By absolute value terms, prepared baby food was the largest sub-category, accounting for 49.2% of the total organic baby food retail sales (US$148.7 million) in 2021. Organic milk formula saw the highest growth at a CAGR of 6.3% between 2016 and 2021. Organic baby food is set to experience gradual growth at a CAGR of 4.4% during the forecast period, with total retail sales of US$375.2 million by 2026.

With respect to competition, Hain Celestial Group Inc (Brand name: Ella's Kitchen) maintained its leadership in organic baby food throughout 2016 and 2021. In 2021, Hain Celestial Group Inc accounted for 35.8% of the total organic baby food market in the UK. Other major players were Hipp GmbH & Co Vertrieb KG (Brand name: Hipp) with a market share of 15.2% and Hero Group GmbH (Brand name: Organix) with a market share of 11.4% in 2021.

According to Euromonitor (2021), organic baby food has a high penetration rate due to preference by parents for healthier options for their children. In Euromonitor consumer survey (2021), more than half of UK parents look for organic foods for their children, since organic products are considered better and healthier options and consumers were more willing to pay a premium for baby food that guarantees health benefits.

The UK Health Security Agency (formerly Public Health England) is currently drafting guidelines on commercial baby food and drink products that may influence positive prospect for the organic baby food market in the UK. The proposed guidelines focus on foods marketed for children aged 6-12 months and are based on findings from "Foods and drinks aimed at infants and young children: evidence and opportunities for action" by the Public Health England (June 27, 2019). The report highlights the need to avoid adding sugar or salt to any foods, as well as the need to reduce frequency of providing such food. The guidelines target sugary food, products containing added sugar and salt and fruit juices that are commercially oriented for the consumption by children.

While such guidelines could impose some challenges for manufacturers, it could also increase consumer awareness and help make informed decision for healthier food choice for children. Euromonitor (2021) noted that the increasing popularity of cleaner labels (for example, simple and less ingredients) could boost the demand for organic baby food products, which are perceived as healthier options by parents. The final guidelines are expected to take effect from 2023.

Organic baby food Retail value sales by sub-category - historic retail sales in US$ millions
Category 2016 2017 2018 2019 2020 2021
Organic Baby Food Total 236.3 245.6 264.9 280.3 291.7 302.0
Milk Formula 57.3 59.2 69.7 74.5 73.8 77.8
Dried Baby Food 12.8 13.0 13.2 13.5 13.5 13.6
Prepared Baby Food 117.4 122.6 128.3 135.5 143.8 148.7
Other Baby Food 48.8 50.8 53.6 56.8 60.7 61.9
Source: Euromonitor International, 2022
Organic baby food Retail value sales by sub-category - historical retail value sales growth (%)
Category Annual growth % 2020-2021 CAGR* % 2016-2021 Total growth % 2016-2021
Organic Baby Food Total 3.5 5.0 27.8
Milk Formula 5.4 6.3 35.8
Dried Baby Food 0.7 1.2 6.2
Prepared Baby Food 3.4 4.8 26.7
Other Baby Food 2.0 4.9 26.8

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Top 5 organic baby food companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Hain Celestial Group Inc, The 108.0 35.8
Hipp GmbH & Co Vertrieb KG 45.9 15.2
Hero Group GmbH 34.3 11.4
Kendal Nutricare Ltd 9.9 3.3
Walgreens Boots Alliance Inc 8.2 2.7
Others 95.7 31.7
Source: Euromonitor International, 2022
Organic baby food Retail value sales by sub-category - forecast retail sales in US$ millions
Category 2022 2023 2024 2025 2026
Organic baby food total 313.3 323.4 339.9 356.9 375.2
Milk formula 78.4 77.8 83.4 89.0 95.9
Dried baby food 14.1 14.5 14.9 15.3 15.7
Prepared baby food 156.2 163.7 171.2 179.1 186.9
Other baby food 64.6 67.5 70.4 73.5 76.7
Source: Euromonitor International, 2022
Organic baby bood Retail value sales by sub-category - forecast retail value sales growth (%)
Category Annual growth % 2021-2022 CAGR* % 2021-2026 Total growth % 2021-2026
Organic baby food total 3.7 4.4 24.2
Milk formula 0.8 4.3 23.3
Dried baby food 3.7 2.9 15.4
Prepared baby food 5.0 4.7 25.7
Other baby food 4.4 4.4 23.9

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Organic bread and breakfast cereals

The UK organic bread market is highly fragmented, with sales led by private labels, which accounted for 61.3% of the total organic bread sales in 2021. From 2016 to 2021, this market saw slow growth at a CAGR of 2.0%, with total retail sales of US$55.0 million in 2021. It is expected to see faster growth during the forecast period, at a CAGR of 4.8%, with total retail sales of US$69.6 million by 2026.

The retail value sales of the organic breakfast cereals increased fast by a CAGR of 11.8% during the 2016-2021 period, with total retail sales of US$65.3 million in 2021. This market is forecast to see double digit growth between 2021 and 2026, at a CAGR of 10.8% and to be valued at US$108.9 million by 2026. Associated British Foods (Brand names: Jordans and Dorset Cereals) and Post Holdings (Brand name: Weetabix) were the two leading companies, accounting for 16.7% and 14.2% of the total retail value sales in 2021, respectively.

Organic bread and breakfast cereals retail value sales - historic retail sales in US$ millions
Category 2016 2017 2018 2019 2020 2021
Organic bread 49.9 50.7 52.5 54.5 53.2 55.0
Organic breakfast cereals 37.4 40.1 46.8 52.1 59.7 65.3
Source: Euromonitor International, 2022
Organic bread and breakfast cereals retail value sales - historic retail value sales growth (%)
Category Annual growth % 2020-2021 CAGR* % 2016-2021 Total growth % 2016-2021
Organic bread 3.4 2.0 10.2
Organic breakfast cereals 9.4 11.8 74.6

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Organic Bread Companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ million) Market share (%)
Windmill Organics Ltd 1.5 2.7
Private Label 33.7 61.3
Artisanal 13.4 24.4
Others 6.4 11.6
Source: Euromonitor International, 2022
Top 5 Organic Breakfast Cereals Companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ million) Market share (%)
Associated British Foods Plc 10.9 16.7
Post Holdings Inc 9.3 14.2
Alara Wholefoods Ltd 4.9 7.5
Nature's Path Foods Inc 3.3 5.1
Kellogg Co 3.1 4.7
Private Label 14.7 22.5
Others 19.1 29.2
Source: Euromonitor International, 2022
Organic bread and breakfast cereals retail value sales - forecast retail sales in US$ millions
Category 2022 2023 2024 2025 2026
Organic Bread 57.9 60.8 63.7 66.6 69.6
Organic Breakfast Cereals 72.8 80.5 89.0 98.3 108.9
Source: Euromonitor International, 2022
Organic bread and breakfast cereals retail value sales - forecast retail value sales growth (%)
Category Annual growth % 2021-2022 CAGR* % 2021-2026 Total growth % 2021-2026
Organic Bread 5.3 4.8 26.5
Organic Breakfast Cereals 11.5 10.8 66.8

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Organic cooking ingredients and meals

The UK organic edible oil market grew at a CAGR of 5.4% during the 2016-2021 period, with total retail sales of US$57.6 million in 2021. However, this market contracted by 2.7% between 2020 and 2021, but is expected to expand by a CAGR of 2.7% from 2021 to 2026, reaching total retail sales of US$65.8 million by 2026. All Market Inc (Brand name: Vita Coco) led the sales of the UK organic edible oil, with a market share of 23.3%, followed by Archer Daniels Midland Co (Brand name: Pura) with a market share of 14.4% and Groovy Food Co Ltd (Brand name: Groovy Food) with a market share of 7.8% in 2021. Other notable companies were Edible Oil Limited, which is the provider of Flora and Mazola oils and launched the new brand U:Me, including an organic rapeseed oil for roasting and frying.

The organic ready meals saw continued growth at a CAGR of 4.0% during the 2016-2021 period with total retail sales of US$87.3 million in 2021. This market is expected to expand at a CAGR of 3.8% between 2021 and 2026, reaching total retail sales of US$105.2 million by 2026. Simply Organic Ltd is the UK's leading organic ready meal company, accounting for 9.2% of the organic ready meal sales in 2021. Private labels continued to play strong and represented 58.6% of this market in 2021.

The organic sauce, dressing and condiment market grew at a CAGR of 4.7% during the 2016-2021 period, with total retail sales valued at US$36.6 million in 2021. This sector is expected to see a moderate growth at a CAGR of 4.9% during the forecast period and to be valued at US$46.6 million by 2026. Mars Inc (Brand name: Seeds of Change) and Kraft Heinz Co (Brand name: Heinz) were the two leading companies, representing 33.6% and 16.9% of this market, respectively, in 2021.

The retail value sales of the organic soup category increased by a CAGR of 6.0% between 2016 and 2021, with total retail sales of US$56.1 million in 2021. The organic soup market is expected to see slow growth at a CAGR of 1.8% from 2021 to 2026, reaching total retail sales of US$61.2 million by 2026. While the UK organic soup market is highly fragmented with many companies with a market share of less than 2%, Kraft Heinz Co (Brand name: Heinz) accounted for 15.7% of the retail value sales, followed by Amy's Kitchen Inc (Brand name: Amy's Kitchen), accounting for 2.4% in 2021.

The organic spreads saw relatively high growth at a CAGR of 9.8% from 2016 to 2021, with total retail sales valued at US$70.7 million in 2021. This market is expected to see slower growth at a CAGR of 2.7% during the forecast period and to be valued at US$80.9 million by 2026. SHS Group (Brand name: Meridian) was the leading spread company in the UK with a market share of 34.1%, followed by Ecotone (Brand name: Whole Earth) with a market share of 19.4% in 2021. Private labels represented 35.5% of the total organic spread sales.

According to Euromonitor (2022), sustained growth of organic cooking ingredients and meals was supported by changes in consumer behavior, such as cooking more at home and looking for convenient meal options, which were adopted during the pandemic due to lockdown restrictions. However, similar to some organic staple foods, such as rice and pasta, some product categories could experience limited growth affected by the stockpiling during the 2020 panic-buying period.

Organic cooking ingredients and meals retail value sales by sub-category - historic retail sales in US$ millions
Category 2016 2017 2018 2019 2020 2021
Organic Edible Oil Total 44.3 47.7 49.0 49.9 59.2 57.6
Olive Oil 7.5 7.9 8.1 8.3 9.8 9.7
Vegetable and Seed Oil 36.8 39.8 40.9 41.7 49.4 47.9
Organic Ready Meals 71.9 74.5 76.8 79.1 85.5 87.3
Organic Sauces, Dressings and Condiments 29.1 30.2 31.5 32.9 35.6 36.6
Organic Soup 41.9 47.6 49.6 51.4 55.5 56.1
Organic Spreads Total 44.2 48.3 51.9 57.1 69.6 70.7
Spreads 32.0 35.4 38.5 43.3 53.1 54.1
Honey 12.2 12.9 13.4 13.8 16.4 16.6
Source: Euromonitor International, 2022
Organic cooking ingredients and meals retail value sales by sub-category - historical retail value sales growth (%)
Category Annual growth % 2020-2021 CAGR* % 2016-2021 Total growth % 2016-2021
Organic Edible Oil Total −2.7 5.4 30.0
Olive Oil −1.0 5.3 29.3
Vegetable and Seed Oil −3.0 5.4 30.2
Organic Ready Meals 2.1 4.0 21.4
Organic Sauces, Dressings and Condiments 2.8 4.7 25.8
Organic Soup 1.1 6.0 33.9
Organic Spreads Total 1.6 9.8 60.0
Spreads 1.9 11.1 69.1
Honey 1.2 6.4 36.1

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Top 5 organic edible oil companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
All Market Inc 13.4 23.3
Archer Daniels Midland Co 8.3 14.4
Groovy Food Co Ltd, The 4.5 7.8
De-Vau-Ge Gesundkostwerk GmbH 1.8 3.1
Bright Food Group Co Ltd 1.8 3.1
Private Label 23.2 40.3
Others 4.6 8.0
Source: Euromonitor International, 2022
Organic ready meal companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Simply Organic Ltd 8.2 9.4
Private Label 51.2 58.6
Others 27.9 32.0
Source: Euromonitor International, 2022
Organic sauce, dressing and condiment companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Mars Inc 12.3 33.6
Kraft Heinz Co 6.2 16.9
Private Label 6.4 17.5
Others 11.7 32.0
Source: Euromonitor International, 2022
Organic soup companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Kraft Heinz Co 8.8 15.7
Amy's Kitchen Inc 1.3 2.3
Rod & Ben's Ltd 0.8 1.4
Private Label 20.1 35.8
Others 25.1 44.7
Source: Euromonitor International, 2022
Organic spread companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
SHS Group 24.1 34.1
Ecotone 13.7 19.4
Valeo Foods Ltd 2.8 4.0
Equal Exchange Inc 0.8 1.1
Private Label 25.1 35.5
Others 4.2 5.9
Source: Euromonitor International, 2022
Organic cooking ingredients and meals retail value sales by sub-category - forecast retail sales in US$ millions
Category 2022 2023 2024 2025 2026
Organic Edible Oil Total 57.2 58.5 60.7 63.1 65.8
Olive Oil 9.7 9.6 9.8 10.1 10.5
Vegetable and Seed Oil 47.6 48.9 50.8 53.0 55.3
Organic Ready Meals 90.0 92.5 95.2 100.0 105.2
Organic Sauces, Dressings and Condiments 38.4 40.2 41.8 44.1 46.6
Organic Soup 56.8 57.3 57.6 59.2 61.2
Organic Spreads Total 71.9 72.9 74.0 77.3 80.9
Spreads 55.0 55.9 56.9 59.4 62.2
Honey 16.8 17.0 17.1 17.9 18.6
Source: Euromonitor International, 2022
Organic cooking ingredients and meals retail value sales by sub-category - forecast retail value sales growth (%)
Category Annual growth % 2021-2022 CAGR* % 2021-2026 Total growth % 2021-2026
Organic Edible Oil Total −0.7 2.7 14.2
Olive Oil 0.0 1.6 8.2
Vegetable and Seed Oil −0.6 2.9 15.4
Organic Ready Meals 3.1 3.8 20.5
Organic Sauces, Dressings and Condiments 4.9 4.9 27.3
Organic Soup 1.2 1.8 9.1
Organic Spreads Total 1.7 2.7 14.4
Spreads 1.7 2.8 15.0
Honey 1.2 2.3 12.0

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Organic Dairy

The UK organic dairy market grew at a CAGR of 3.5% during the 2016-2021 period, recording total retail sales of US$538.0 million in 2021. In absolute value terms, organic milk was the largest sub-category, accounting for 56.1% of the total organic dairy retail sales (US$302.0 million) in 2021. Fresh cheese and quark sub-category saw the fastest growth at a CAGR of 8.4% between 2016 and 2021. Organic dairy sector is forecast to see slow growth at a CAGR of 2.4% from 2021 to 2026, reaching total retail sales of US$605.2 million by 2026.

The UK organic dairy market is highly fragmented, with sales led by private labels, which accounted for 63.7% of the total organic dairy sales in 2021. Yeo Valley Farm Ltd (Brand name: Yeo Valley) was the only company with double digit market share, with a market share of 11.4% in 2021.

Organic dairy retail value sales by sub-category - historic retail sales in US$ millions
Category 2016 2017 2018 2019 2020 2021
Organic Dairy Total 452.4 468.8 484.9 499.2 534.2 538.0
Butter and Spreads 31.9 33.4 36.8 40.6 47.8 47.2
Cheese 92.1 99.7 104.5 108.0 118.6 120.3
Cream 9.4 10.5 11.2 11.7 12.6 12.8
Flavoured Milk Drinks 7.9 8.4 9.0 9.5 9.4 9.4
Fresh Cheese and Quark 4.0 4.4 4.7 5.1 5.8 6.0
Milk 271.3 276.4 282.2 287.3 300.2 302.0
Yoghurt 35.9 36.1 36.5 37.0 39.8 40.3
Source: Euromonitor International, 2022
Organic dairy retail value sales by sub-category - historical retail value sales growth (%)
Category Annual growth % 2020-2021 CAGR* % 2016-2021 Total growth % 2016-2021
Organic Dairy Total 0.7 3.5 18.9
Butter and Spreads −1.3 8.1 47.7
Cheese 1.5 5.5 30.7
Cream 1.4 6.3 36.0
Flavoured Milk Drinks −0.2 3.6 19.2
Fresh Cheese and Quark 3.3 8.4 49.9
Milk 0.6 2.2 11.3
Yoghurt 1.2 2.4 12.4

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Top 5 organic dairy companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Yeo Valley Farms Ltd 61.3 11.5
Trioni Ltd 5.8 1.1
Lactalis, Groupe 3.9 0.7
Unternehmensgruppe Theo Müller Secs 1.4 0.3
Arla Foods Amba 0.6 0.1
Private Label 342.5 64.1
Others 118.7 22.2
Source: Euromonitor International, 2022
Organic dairy retail value sales by sub-category - forecast retail sales in US$ millions
Category 2022 2023 2024 2025 2026
Organic Dairy Total 547.6 554.5 562.9 583.9 605.2
Butter and Spreads 47.1 45.7 47.1 50.9 54.4
Cheese 124.0 127.2 130.2 134.1 138.3
Cream 13.1 13.2 13.3 13.8 14.3
Flavoured Milk Drinks 9.7 9.9 10.2 10.6 11.0
Fresh Cheese and Quark 6.0 6.1 6.2 6.4 6.7
Milk 306.8 310.7 313.8 324.9 336.1
Yoghurt 41.0 41.6 42.0 43.1 44.4
Source: Euromonitor International, 2022
Organic dairy retail value sales by sub-category - forecast retail value sales growth (%)
Category Annual growth % 2021-2022 CAGR* % 2021-2026 Total growth % 2021-2026
Organic Dairy Total 1.8 2.4 12.5
Butter and Spreads −0.3 2.9 15.4
Cheese 3.0 2.8 14.9
Cream 1.8 2.2 11.3
Flavoured Milk Drinks 2.8 3.3 17.4
Fresh Cheese and Quark 1.3 2.3 11.9
Milk 1.6 2.2 11.3
Yoghurt 1.8 1.9 10.1

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Organic processed meat, seafood, fruits and vegetable

The UK organic chilled processed meat and seafood market grew at a CAGR of 4.6% during the 2016-2021 period, with total retail sales of US$29.1 million in 2021. However, this market contracted by 3.0% between 2020 and 2021, but is forecast to recover and expand by 4.1% between 2021 and 2022. During the forecast period, the retail value sales of this market is expected to increase by a CAGR of 5.8% and to be valued at US$38.5 million by 2026.

The retail value sales of the organic frozen meat, seafood, fruits and vegetable segment increased by a CAGR of 3.7% during the 2016-2021 period, with total retail sales of US$11.5 million in 2021. This market contracted by 4.2% between 2020 and 2021. However, it is forecast to recover in 2022 and expand by a CAGR of 4.2% during the forecast period, reaching total retail sales of US$14.1 million by 2026.

The organic shelf stable meat, seafood, fruits and vegetable sector grew at a CAGR of 4.6% during the 2016-2021 period, with total retail sales valued at US$43.1 million in 2021. This category contracted by 3.1% between 2020 and 2021, but is expected to see a moderate growth at a CAGR of 5.0% during the forecast period and to be valued at US$54.9 million by 2026.

With respect to competition, both organic chilled process meat and seafood market and organic frozen meat, seafood, fruit and vegetable markets are dominated by private label brands without a leading player. On the other hand, the sales of organic shelf stable meat, seafood, fruit and vegetable categories are led by Windmill Organics Ltd (Brand name: Biona), representing 16.2% of this market in 2021, followed by Kraft Heinz Co (Brand name: Heinz) with a market share of 7.2% and Community Food Co (Brand name: Crazy Jack's) with a market share of 5.6%, while private labels play strong, accounting for 41.3% of the retail value sales.

According to Euromonitor (2022), environmental concerns and the focus on animal welfare could positively impact sales of the organic processed meat and seafood during the forecast period. In addition, more and more consumers may opt for organic or higher-quality processed meat and seafood for health and sustainability, even if this means paying a price premium and moderating the quantity they consume.

Organic processed meat, seafood, fruits and vegetable retail value sales - historic retail sales in US$ millions
Category 2016 2017 2018 2019 2020 2021
Organic Chilled Processed Meat and Seafood 23.2 23.8 24.6 25.9 30.0 29.1
Organic Frozen Meat, Seafood, Fruit and Vegetables 9.6 9.7 9.9 10.2 12.0 11.5
Organic Shelf Stable Meat, Seafood, Fruit and Vegetables 34.4 35.3 36.6 38.1 44.5 43.1
Source: Euromonitor International, 2022
Organic processed meat, seafood, fruits and vegetable retail value sales - historical retail value sales growth (%)
Category Annual growth % 2020-2021 CAGR* % 2016-2021 Total growth % 2016-2021
Organic Chilled Processed Meat and Seafood −3.0 4.6 25.4
Organic Frozen Meat, Seafood, Fruit and Vegetables −4.2 3.7 19.8
Organic Shelf Stable Meat, Seafood, Fruit and Vegetables −3.1 4.6 25.3

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Organic chilled processed meat and seafood companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Private Label 16.5 56.7
Others 12.6 43.3
Source: Euromonitor International, 2022
Organic frozen meat, seafood, fruit and vegetable companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Private Label 4.2 36.5
Others 7.3 63.5
Source: Euromonitor International, 2022
Top 5 organic shelf stable meat, seafood, fruit and vegetable companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Windmill Organics Ltd 7 16.2
Kraft Heinz Co 3.1 7.2
Community Foods Ltd 2.4 5.6
Ecotone 1.9 4.4
Napolina Ltd 1.3 3.0
Private Label 17.8 41.3
Others 9.6 22.3
Source: Euromonitor International, 2022
Organic processed meat, seafood, fruits and vegetable retail value sales - forecast retail sales in US$ millions
Category 2022 2023 2024 2025 2026
Organic Chilled Processed Meat and Seafood 30.3 32.1 34.0 36.2 38.5
Organic Frozen Meat, Seafood, Fruit and Vegetables 11.9 12.4 12.9 13.4 14.1
Organic Shelf Stable Meat, Seafood, Fruit and Vegetables 44.9 46.9 49.2 51.8 54.9
Source: Euromonitor International, 2022
Organic processed meat, seafood, fruits and vegetable retail value sales - forecast retail value sales growth (%)
Category Annual growth % 2021-2022 CAGR* % 2021-2026 Total growth % 2021-2026
Organic Chilled Processed Meat and Seafood 4.1 5.8 32.3
Organic Frozen Meat, Seafood, Fruit and Vegetables 3.5 4.2 22.6
Organic Shelf Stable Meat, Seafood, Fruit and Vegetables 4.2 5.0 27.4

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Organic rice and pasta

During the 2016-2021 period, the UK organic rice and pasta market saw a slow growth at a CAGR of 2.5% and was valued at US$32.5 million in 2021. Compared to other organic packaged food categories, organic rice and pasta category underperformed and contracted by 6.7% between 2020 and 2021. According to Euromonitor (2022), the decline in sales could have been due to the stockpiling effect during the 2020 panic-buying period, which limited new purchases in 2021. While this market is forecast to see positive growth, the growth of the market could be limited at a CAGR of 2.8%, reaching total retail sales of US$37.2 million by 2026.

In 2021, the retail value sales of the UK organic rice and past sector are led by Dove Farm Food Ltd (Brand name: Dove Farm) with a market share of 15.4%, Windmill Organics Ltd (Brand name: Biona) with a market share of 11.4% and Mars Inc (Brand name: Seeds of Change) with a market share of 11.1%. Private labels accounted for 46.2% of this market, recording total retail sales of US$15.0 million.

Organic rice and pasta retail value sales - historic retail sales in US$ millions
Category 2016 2017 2018 2019 2020 2021
Organic Rice and Pasta Total 28.7 29.3 29.8 30.0 34.8 32.5
Rice 12.0 12.0 11.9 11.7 13.0 12.4
Pasta 16.8 17.3 17.9 18.4 21.8 20.1
Source: Euromonitor International, 2022
Organic rice and pasta retail value sales - historical retail value sales growth (%)
Category Annual growth % 2020-2021 CAGR* % 2016-2021 Total growth % 2016-2021
Organic Rice and Pasta Total −6.6 2.5 13.2
Organic Rice −4.6 0.7 3.3
Organic Pasta −7.8 3.7 19.6

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Top 5 organic rice and pasta companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Doves Farm Foods Ltd 5.0 15.4
Windmill Organics Ltd 3.7 11.4
Mars Inc 3.6 11.1
Organic Family Ltd, The 1.7 5.2
Riso Gallo SpA 1.1 3.4
Private Label 15 46.2
Others 2.4 7.4
Source: Euromonitor International, 2022
Organic rice and pasta retail value sales - forecast retail sales in US$ millions
Category 2022 2023 2024 2025 2026
Organic Rice and Pasta Total 33.2 34.0 35.0 36.0 37.2
Organic Rice 12.5 12.6 12.7 12.9 13.1
Organic Pasta 20.7 21.4 22.2 23.1 24.1
Source: Euromonitor International, 2022
Organic rice and pasta retail value sales - forecast retail value sales growth (%)
Category Annual growth % 2021-2022 CAGR* % 2021-2026 Total growth % 2021-2026
Organic Rice and Pasta Total 2.2 2.7 14.5
Organic Rice 0.8 1.1 5.6
Organic Pasta 3.0 3.7 19.9

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Organic Snacks

The UK organic confectionery market (that is, chocolate confectionery only) grew at a CAGR of 4.8% during the 2016-2021 period, with total retail sales of US$244.7 million in 2021. This market is expected to expand by a CAGR of 4.8% from 2021 to 2026 and to be valued at US$309.7 million by 2026. For chocolate confectionery, the organic claim will continue to gain popularity, since consumers increasingly value the provenance of ingredients and transparency in the cocoa supply chain (Euromonitor, 2022). Mondelez (Brand name: Green & Black's), the leading chocolate confectionery company in the UK, with a market share of 61.1% in 2021, has refreshed its packaging to highlight its high quality and commitment to sustainably-sourced cocoa, which could appeal to the consumers looking for the products with sustainability and transparency claims.

The organic ice cream sector saw slow growth at a CAGR of 2.2% during the 2016-2021 period, with total retail sale of US$38.1 million in 2021. This market is expected to expand at a CAGR of 3.6% between 2021 and 2026, reaching total retail sales of US$45.4 million by 2026. Mondelez International Inc (Brand name: Green & Black's) is the UK's leading organic ice cream company with a market share of 29.7% in 2021, followed by Yeo Valley Farm Ltd (Brand name: Yeo Valley) with a market share of 7.3%. Private labels continue to play strong, accounting for 46.7% of the total organic ice cream market in 2021.

The organic savoury snack market (that is, nuts, seeds and trail mix) expanded by a CAGR of 8.2% during the 2016-2021 period, with total retail sales valued at US$20.0 million in 2021. While this sector contacted by 1.0% in 2021, it is expected to recover and see moderate growth at a CAGR of 7.3% during the forecast period, with total retail sales of US$46.6 million by 2026. Sales of this sector are dominated by nuts, seeds and trail mix by private labels, which represented 78.5% of the market in 2021.

The organic sweet snack category saw growth at a CAGR of 5.1% during the 2016-2021 period, with total retail sales of US$61.4 million in 2021. The retail sales of this market is expected to increase by a CAGR of 4.7% between 2021 and 2026, reaching total retail sales of US$77.4 million by 2026. The organic sweet snack market in the UK is highly fragmented without any companies with a market share more than 5%. Common Food Inc (Brand name: Crazy Jack) is the leading sweet snack company, with a market share of 4.6% in 2021. The presence of private labels, with a market share of 20.0%, is relatively low compared to other organic packaged food categories.

Euromonitor (2022) noted that the sales of organic snacks could benefit with more consumers returning to their pre-pandemic habits during the forecast period, since organic snacks are not only a convenient option for on-the-go consumption, but also perceived as a healthier choice. It also noted that consumers will continue looking for the options that are better for them as well as better for the environment. This will be particularly evident in organic chocolate confectionery, ice cream and sweet biscuits.

Organic snacks retail value sales by sub-category - historic retail sales in US$ millions
Category 2016 2017 2018 2019 2020 2021
Organic Confectionery 193.2 199.9 207.0 218.9 234.2 244.7
Organic Ice Cream 34.1 34.4 34.9 36.0 37.2 38.1
Organic Savoury Snacks 13.5 14.4 16.7 18.0 20.2 20.0
Organic Sweet Biscuits, Snack Bars and Fruit Snacks 47.9 49.7 52.0 55.1 58.8 61.4
Cereal Bars 8.4 8.8 9.6 10.3 10.6 10.7
Fruit Snacks 13.2 14.1 15.2 16.4 18.2 19.5
Sweet Biscuits 26.4 26.7 27.3 28.5 30.1 31.2
Source: Euromonitor International, 2022
Organic snacks retail value sales by sub-category - historical retail value sales growth (%)
Category Annual growth % 2020-2021 CAGR* % 2016-2021 Total growth % 2016-2021
Organic Confectionery 4.5 4.8 26.7
Organic Ice Cream 2.4 2.2 11.7
Organic Savoury Snacks −1.0 8.2 48.1
Organic Sweet Biscuits, Snack Bars and Fruit Snacks 4.4 5.1 28.2
Cereal Bars 0.9 5.0 27.4
Fruit Snacks 7.1 8.1 47.7
Sweet Biscuits 3.7 3.4 18.2

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

Organic confectionery companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Mondelez International Inc 149.5 61.1
Rococo Chocolates 2.9 1.2
Traidcraft Plc 2.4 1.0
Private Label 32.3 13.2
Others 57.6 23.5
Source: Euromonitor International, 2022
Organic ice cream companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Mondelez International Inc 11.3 29.7
Yeo Valley Farms (Production) Ltd 2.8 7.3
Private Label 17.8 46.7
Others 6.2 16.3
Source: Euromonitor International, 2022
Organic savory snack companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Private Label 15.7 78.5
Others 4.3 21.5
Source: Euromonitor International, 2022
Organic sweet biscuits, snack bars and fruit snacks companies in the United Kingdom in 2021 - retail value sales in US$ millions and market share
Company Retail sales (US$ millions) Market share (%)
Community Foods Ltd 2.8 4.6
Private Label 12.3 20.0
Others 46.3 75.4
Source: Euromonitor International, 2022
Organic snacks retail value sales by sub-category - forecast retail sales in US$ millions
Category 2022 2023 2024 2025 2026
Organic Confectionery 258.6 271.7 284.4 297.1 309.7
Organic Ice Cream 39.7 41.2 42.7 44.0 45.4
Organic Savoury Snacks 21.3 22.7 24.4 26.3 28.5
Organic Sweet Biscuits, Snack Bars and Fruit Snacks 64.8 68.1 71.1 74.3 77.4
Cereal Bars 11.1 11.6 12.2 12.8 13.5
Fruit Snacks 21.0 22.5 23.8 25.1 26.5
Sweet Biscuits 32.7 34.0 35.2 36.3 37.5
Source: Euromonitor International, 2022
Organic Snacks Retail value sales by sub-category - forecast retail value sales growth (%)
Category Annual growth % 2021-2022 CAGR* % 2021-2026 Total growth % 2021-2026
Organic Confectionery 5.7 4.8 26.6
Organic Ice Cream 4.2 3.6 19.2
Organic Savoury Snacks 6.5 7.3 42.5
Organic Sweet Biscuits, Snack Bars and Fruit Snacks 5.5 4.7 26.1
Cereal Bars 3.7 4.8 26.2
Fruit Snacks 7.7 6.3 35.9
Sweet Biscuits 4.8 3.7 20.2

Source: Euromonitor International, 2022

*CAGR: Compound annual growth rate

New product launch analysis

From 2017 to 2021, 3,924 organic packaged food products were introduced in the UK, with the highest number of new products launched in 2019. The most popular product claim was Vegan/ No Animal Ingredients (1,803 products). Other popular claims were low/no/reduced allergen (1,696 products) and ethical-environmentally friendly package (1,696 products). The companies with the highest number of new product launches was Sainsbury's with 178 products, followed by Waitrose (150 products) and Planet Organic (139 products). Nearly half of the product launches (1,795 products) was new variety/ range extension, whereas 24.6% was new products (965 products). The top five packaging types included flexible packaging (1,555 products), jar (456 products), flexible stand-up pouch (439 products), carton (350 products) and tub (309 products).

New product launches of organic packaged food products in the United Kingdom, 2017 to 2021
Product attributes Number of new products by year Total
2017 2018 2019 2020 2021
Yearly product launches 689 797 1,009 743 686 3,924
Top 10 claims
Vegan/No Animal Ingredients 260 369 548 328 298 1,803
Low/No/Reduced Allergen 335 407 504 253 197 1,696
Ethical - Environmentally Friendly Package 220 288 387 343 428 1,666
Gluten Free 305 359 448 232 176 1,520
Ethical - Recycling 184 238 308 274 393 1,397
Vegetarian 191 208 225 220 236 1,080
Social Media 205 235 267 154 178 1,039
Ethical - Sustainable (Habitat/Resources) 141 169 230 186 200 926
Ethical - Environmentally Friendly Product 155 163 194 158 183 853
No Additives/Preservatives 180 153 163 104 100 700
Top 10 companies
Sainsbury's 10 34 18 70 46 178
Waitrose 27 22 22 9 70 150
Planet Organic 11 24 32 54 18 139
Biona 18 22 31 36 24 131
Daylesford 45 22 16 20 24 127
Yeo Valley 18 15 7 5 19 64
Mr Organic 11 21 11 14 5 62
Clearspring 11 14 13 12 11 61
HiPP 13 10 8 17 13 61
Just Natural 1 4 46 10 0 61
Top 5 flavours (including blend)
Unflavoured/Plain 260 315 399 331 317 1,622
Tomato 10 6 13 12 8 49
Strawberry 14 13 7 2 11 47
Chocolate 6 14 10 5 7 42
Coconut 8 7 9 6 7 37
Top 5 ingredients
Waters 147 171 262 174 155 909
Sea Salt 154 165 219 132 125 795
Sunflower Seed Oil 113 131 136 127 114 621
Salt 100 106 151 115 96 568
Cocoa Fat 65 93 100 69 77 404
Launch types
New Variety/Range Extension 281 353 499 386 276 1,795
New Product 207 224 268 128 138 965
New Packaging 156 174 189 173 177 869
Relaunch 42 37 49 53 87 268
New Formulation 3 9 4 3 8 27
Top 5 package types
Flexible 300 320 374 286 275 1,555
Jar 55 91 138 94 78 456
Flexible stand-up pouch 84 97 108 84 66 439
Carton 50 60 107 62 71 350
Tub 83 68 60 41 57 309
Product origin
Imported 172 223 300 158 156 1,009
Not imported 145 141 172 108 92 658
Source: Mintel GNPD, 2022
New Product Pricing, 2017 to 2021
Category Number of products Average price (in US$)
Sauces and Seasonings 529 5.32
Baby Food 433 3.55
Snacks 424 4.03
Dairy 422 3.21
Bakery 403 4.61
Side Dishes 313 3.86
Chocolate Confectionery 302 5.28
Processed Fish, Meat and Egg Products 254 5.97
Fruit and Vegetables 222 2.94
Sweet Spreads 165 5.94
Breakfast Cereals 155 4.95
Soup 91 4.75
Desserts and Ice Cream 62 4.34
Meals and Meal Centers 61 6.82
Savoury Spreads 37 3.94
Sugar and Gum Confectionery 28 4.01
Sweeteners and Sugar 23 5.30
Source: Mintel GNPD, 2022

Examples of new products

Stage 2 Organic Infant Goat Milk Follow-On Formula
Company Holle Baby Food
Brand Holle
Category Baby food
Sub-category Baby formula (6-12 months, powder)
Date published December 2021
Launch type New formulation
Location of manufacture Austria
Price in US dollars 23.87 ($5.96 per 100 grams / millilitres)
 

Holle Stage 2 Organic Infant Goat Milk Follow-on Formula was reformulated with a new palm oil free recipe. This product contains organic goat's milk and is suitable for babies between six months and three years of age, as part of a mixed diet of bottle feeds and weaning. The packaging features preparation instructions, the FSC Mix, EU Organic and CO2 Neutral logos. The manufacturer uses only raw materials from organic or biodynamic agriculture, does not exploit animals, the soil or the environment and has established fair partnerships with organic farmers.

Positioning Claims: Babies and toddlers (0-4), carbon neutral, ethical (animal, environmentally friendly product, human and sustainable habitat/ resources), environmentally friendly package, palm oil free

Salted Caramel Fudge
Company The Hemp Pantry
Brand The Hemp Pantry
Category Sugar confectionary
Sub-category Toffees, caramels and nougat
Date published December 2021
Launch type New product
Location of manufacture United Kingdom
Price in US dollars 7.79 ($4.45 per 100 grams / millilitres)
 

The Hemp Pantry Salted Caramel Fudge claims to be crafted by hand, using traditional methods and is made with unrefined sugars. This product is plant-based and free from fourteen allergens, such as dairy, nut and soya. The product package features the EU Organic and Soil Association logos.

Positioning Claims: Dairy free, ethical (biodegradable, environmentally friendly package, recycling, low/no/reduced allergen), plant-based

Organic Butter Flavour Cooking Spray
Company The Groovy Food Company
Brand The Groovy Food Company
Category Sauces and seasonings
Sub-category Cooking oil
Date published December 2021
Launch type New variety / range extension
Location of manufacture Not specified
Price in US dollars 2.63 ($1.38 per 100 grams / millilitres)
 

The Groovy Food Company Organic Butter Flavour Cooking Spray is described as an organic rapeseed oil emulsion spray that provides one calorie per spray. This product is free from gluten and rich in omega 3. The product package features the Vegan Society Approved Vegan Trademark, EU Organic and Soil Association logos.

Positioning Claims: Ethical (environmentally friendly package, recycling), gluten free, kosher, low/no/reduced allergen, vegan/no animal ingredients, vegetarian

Organic Dairy Free Banana Mylk Shake
Company Nurture Brands
Brand Rebel Kitchen
Category Dairy
Sub-category Plant-based drinks (dairy alternatives, liquid)
Date published December 2021
Launch type New variety / range extension
Location of manufacture Sri Lanka
Price in US dollars 2.32 ($0.93 per 100 grams / millilitres)
 

Rebel Kitchen Organic Dairy Free Banana Mylk Shake is plant based and made with real bananas. This product does not contain refined sugar, gluten, emulsifiers or stabilisers. The product package features 1% for the Planet, Certified B Corporation, Carbon Neutral, Vegan Society Approved Vegan Trademark, EU Organic, and Soil Association logos.

Positioning Claims: Carbon neutral, dairy free, ethical (charity, environmentally friendly package, environmentally friendly product, human, sustainable Habitat/ resources), gluten free, low/no/reduced allergen, plant based, vegan/no animal ingredients

Clear Honey
Company Sainsbury's
Brand Sainsbury's So Organic (private label)
Category Sweet spreads
Sub-category Honey
Date published December 2021
Launch type New packaging
Location of manufacture Not specified
Price in US dollars 4.18 ($1.23 per 100 grams / millilitres)
 

Sainsbury's So Organic Clear Honey has been repackaged and now retails in a redesigned 340 gram widely recycled pack bearing Soil Association, EU Organic and Check Locally logos. This product is suitable for vegetarians.

Positioning Claims: Ethical (environmentally friendly package, recycling), vegetarian

Free Range British Pork Chipolatas
Company Waitrose
Brand Waitrose & Partners Duchy Organic (private label)
Category Chilled processed meat
Sub-category Sausage
Date published November 2021
Launch type Relaunch
Location of manufacture United Kingdom
Price in US dollars 5.16 ($1.52 per 100 grams / millilitres)
 

Waitrose & Partners Duchy Organic Free Range British Pork Chipolatas have been relaunched under a new brand name and a new package design. This product is freezable and from pigs reared on an organic diet to high welfare standards. The product package features Soil Association logo. The manufacturer claims to be an award-winning supermarket for animal welfare and sales from the brand provide a donation to a charitable organization.

Positioning Claims: Ethical (animal, charity, environmentally friendly package, recycling)

Madagascar 72% Chocolate from Akesson's Organic Estate
Company Pump Street Chocolate
Brand Pump Street
Category Chocolate confectionery
Sub-category Chocolate tablets
Date published November 2021
Launch type New variety / range extension
Location of manufacture United Kingdom
Price in US dollars 10.74 ($15.34 per 100 grams / millilitres)
 

Pump Street Madagascar 72% Chocolate from Akesson's Organic Estate is made with cocoa beans imported directly from single estate and cooperatives around the world and sourced directly from the best growers who ferment and dry the beans at origin. The product package features Instagram and Twitter links. The manufacturer claims to work to make all of the packaging as sustainable and low-impact as possible

Positioning Claims: Convenient packaging, ethical (biodegradable, environmentally friendly package, sustainable habitat/ resources), Social Media

Organic Mulberry Berries
Company Navitas Organics
Brand Navitas Organics
Category Snacks
Sub-category Fruit snacks
Date published January 2019
Launch type New packaging
Location of manufacture United States
Price in US dollars 9.49 ($4.18 per 100 grams / millilitres)
 

Navitas Organics Organic Mulberry Berries product is a plant-based, unsulfured and gentle dried. This product is free from gluten or added sugar and suitable for vegans. The product package features the USDA Organic, EU Green Leaf and B Corporation Certified logos.

Positioning Claims:Ethical (environmentally friendly product, human, sustainable habitat/ resources), functional (energy), gluten free, low/no/reduced allergen, no added sugar, plant based, premium, vegan/no animal ingredients

Vegan Fish Soy-Free Sauce
Company New Frontier Foods
Brand Oceans Halo
Category Sauce and seasonings
Sub-category Table sauce
Date published November 2021
Launch type New variety / range extension
Location of manufacture United States
Price in US dollars 4.11 ($1.39 per 100 grams / millilitres)
 

Ocean's Halo Vegan Fish Soy-Free Sauce is kelp-based product and free from gluten. The product package features the USDA Organic logo.

Positioning Claims: Ethical (environmentally friendly package, recycling), gluten free, low/no/reduced allergen, vegan/no animal ingredients

No. 189 Italian Single Grain Conchiglioni
Company Marks & Spencer
Brand Marks & Spencer Collection (private label)
Category Pasta
Sub-category Dry pasta
Date published October 2021
Launch type New variety / range extension
Location of manufacture Italy
Price in US dollars 3.40 ($0.68 per 100 grams / millilitres)
 

Marks & Spencer Collection No.189 Italian Single Grain Conchiglioni is made with organic single grain Matt durum wheat. The product package featured the EU Organic logo.

Positioning Claims: Ethical (environmentally friendly package, recycling), premium, vegan/no animal ingredients

Organic labelling

Food products sold in the UK market can be labelled as organic or with terms relating to organic production methods, such as 'bio', 'eco', 'organically grown' or 'produced using organic principles' etc., if the product meets the requirements, that are; "at least 95% of the product's agricultural ingredients are organic; and all other ingredients, additives and processing aids are listed as permitted within the organic regulations". This rule also applies to company names, so that non-organic products cannot be sold with company or brand name that contains the term 'organic'.

For products with less than 95% organic agricultural ingredients to use organic claim for labelling and marketing, the product must be certified by an organic control body in the UK. For non-organic certified products, the term 'organic' can be used in the list of ingredients for organic ingredients; however, the term 'organic' still cannot be used in the product name or description (The UK Department for Environment, Food and Rural Affairs, 2022). Visit Organic food: labelling and advertising rules for more information on the UK organic labelling rules and guidelines.

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Resources

Health and Wellness Series – Organic packaged food trends in the United Kingdom
Global Analysis Report

Prepared by: Mi Jin Babstock, Senior Market Analyst

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