Sector Trend Analysis – Packaged organic products in Germany

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

Executive summary

In 2020, Germany was, in terms of retail value, Europe's largest organic packaged food and beverage products market and the second largest in the world, after the United States. Positive growth for packaged organic food and beverage products is forecasted over the 2021-2025 period, reaching US$6.1 billion with a compound annual growth rate (CAGR) of 4.2%.

While German consumers' awareness of the natural environment and healthy diet was already strong, it has been further strengthened by the COVID-19 pandemic. The demand for organic food and beverage products was accelerated in 2020 (Euromonitor International, 2021).

Germany was the top market for Canadian organic products in the European Union (EU) over the 2017-2020 period. Canada's organic exports to Germany reached US$29.2 million in 2020, from US$19.5 million in 2017, at a CAGR of 14.4% during the same period.

Retail sales of organic packaged food in Germany reached US$4.1 billion in 2020, from US$3.6 billion in 2016, with a CAGR of 3.9% for the same period. The top five organic packaged food products (dairy, bread, chilled processed meat and seafood, baby food, and confectionery) accounted for 77.6% of total organic packaged food sales in 2020.

Retail sales of organic packaged beverage products in Germany reached US$874.6 million in 2020, from US$637.7 million in 2016, with a CAGR of 8.2% for the same period. The top three organic packaged beverage products (non-cola carbonates, fresh coffee, and fruit/herbal tea) accounted for 85.9% of total organic packaged beverage products sales in 2020.

According to Mintel's global new products database (GNPD), there were 69,672 new food and drink products launched in Germany from 2016 to 2020, of which 17,588 featured organic claims.

Market overview

In 2020, Germany was, in terms of retail value, Europe's largest organic packaged food and beverage products market and the second largest in the world, after the United States. Positive growth for packaged organic food and beverage products is forecasted over the 2021-2025 period, reaching US$6.1 billion with a compound annual growth rate (CAGR) of 4.2%. Proportionally, organic packaged foods made up 4.2% of the total German packaged food market in 2020, up from 3.9% in 2016. Over the last 5 years, the organic packaged foods sector has grown faster than the entire packaged food sector; organic packaged foods had a CAGR of 3.9% from 2016-2020, compared to a CAGR of 2.4% for the entire sector.

Top 10 Organic Packaged Food and Beverage Products Markets, Historical and Forecast Retail Sales, US$ billion
Market 2016 2020 CAGR* % 2016-2020 2021 2025 CAGR* % 2021-2025
United States 16.4 22.7 8.5 22.5 27.1 4.8
Germany 4.2 5.0 4.6 5.2 6.1 4.2
France 2.9 4.9 14.4 5.4 8.2 11.0
China 2.5 3.8 10.9 4.5 8.3 16.7
United Kingdom 1.6 1.9 5.0 2.0 2.5 5.9
Italy 1.3 1.8 8.9 1.9 2.5 7.8
Canada 1.2 1.7 9.1 1.8 2.5 9.0
Netherlands 0.8 1.2 9.3 1.3 1.6 6.5
Denmark 0.8 1.2 11.0 1.2 1.6 6.5
Sweden 0.8 0.9 4.4 1.0 1.3 6.9
World 38.5 53.1 8.4 55.1 73.1 7.3

Source: Euromonitor International, 2021

*CAGR: Compound Annual Growth Rate

Retail Sales of Organic Packaged Food and Packaged Food in Germany, Historical and Forecast, US$ billion
Category 2016 2020 CAGR* % 2016-2020 2021 2025 CAGR* % 2021-2025
Organic packaged food 3.6 4.1 3.9 4.3 5.0 3.8
Packaged food 90.6 99.7 2.4 110.0 116.4 1.4

Source: Euromonitor International, 2021

*CAGR: Compound Annual Growth Rate

German consumers associate organic products with premium quality and local provenance (Euromonitor International, 2021). Furthermore, more consumers believe animal welfare has been better practiced in organic food production compared with large-scale industrial food processes (Hannah Danner and John Thøgersen, 2021; Isabel Schäufele and Meike Janssen, 2021).

While German consumers' awareness of the natural environment and healthy diet was already strong, it has been further strengthened by the COVID-19 pandemic. The demand for organic food and beverage products was accelerated in 2020 (Euromonitor International, 2021). Due to the COVID-19 pandemic, German consumers purchased 17% more organic products through September 2020 than during the same period the previous year (United States Department of Agriculture, 2021). In 2020, there were around 1.31 million German consumers who almost exclusively purchased organic products and 6.35 million consumers who predominantly purchased organic products. These number were 1.29 million and 5.66 million, respectively, in 2019 (Statista, 2021).

The widespread sale of organics in discount supermarkets has helped to widen their reach and convert consumers (Gottschalk and Leistner, 2012). First-time purchasers, who may previously have considered organic goods too expensive, will become repeat purchasers, and therefore inexpensive organic goods can create demand for more organic goods. A survey found that promotions/special offer activities would attract 24% of current non-users to buy organic food and beverage products in Germany (Roberto Pinton).

One challenge facing packaged goods producers, particularly international ones, is the fact that German consumers want fresh and local goods in order to minimize waste and carbon footprint (Gottschalk and Leistner, 2012). Therefore, it is important to emphasize traceability and environmental impact reduction when marketing goods in Germany.

Trade performance

In 2020, the European Union's (EU) 27 member states imported 2.79 million tonnes of organic agri-food products, standing for a 1.9% decrease compared to the 2.85 million tonnes imported in 2019. Of the 2020 organic imports into the EU, 18.0% were imported by Germany. The top 10 largest export countries of organic products to the EU represented 64.0% of imports in 2020. Canada ranked as the 20th-largest organic agri-food exporting country to the EU, with 1.2% of market share in terms of trade volume. EU imports of Canadian organic agri-food increased to 33,350 tonnes in 2020, from 28,457 in 2019, an increase of 17.2% (European Commission Agriculture and Rural Development, 2021).

Canada currently only tracks 17 organic exports (Export Development Canada, 2020), as the Harmonized System (HS) covers a limited number of certified organic products. Canada's actual exports of organic food and beverage products to the EU and Germany could be much higher than reported data shows. Despite this shortcoming, the HS system is a practical tool to measure Canadian organic export performance.

In 2020, Canada's organic exports to the EU + UK increased to US$78.7 million, from US$64.7 million in 2017, with a CAGR of 6.7% between 2017 and 2020. Germany was the top market for Canadian organic products in the EU over the 2017-2020 period. Canada's organic exports to Germany reached to US$29.2 million in 2020, from US$19.5 million in 2017, at a CAGR of 14.4% during the same period.

Top 10 Canadian Organic Export Destinations in the EU + UK, 2017 to 2020, in US$ million
Destination 2017 2018 2019 2020 CAGR* % 2017-2020
EU + UK 64.7 62.5 61.5 78.7 6.7
Germany 19.5 24.6 25.9 29.2 14.4
Belgium 10.1 10.5 8.2 9.4 −2.4
France 4.1 5.0 8.7 12.3 43.9
Italy 8.2 6.4 3.2 3.9 −21.8
United Kingdom 4.2 3.7 5.3 7.6 22.4
Netherlands 5.2 3.6 3.1 4.5 −4.6
Denmark 3.0 3.3 3.2 4.7 16.3
Spain 6.9 2.4 0.7 0.8 −51.5
Poland 0.6 0.8 0.5 1.8 41.5
Czech 0.3 0.5 0.6 1.3 63.1

Source: Global Trade Tracker, 2021

*CAGR: Compound Annual Growth Rate

Organic maple syrup was the dominant Canadian organic export to Germany, taking 93.7% of total organic exports to Germany in 2020. Canadian organic maple syrup exports to Germany increased to US$23.5 million in 2020, from US$15.7 million, with a CAGR of 20.2% over the same period.

Canadian Organic Products Exported to Germany, 2017 to 2020, in US$
HS Code Description 2017 2018 2019 2020
Total 19,454,379 24,584,512 25,893,296 29,157,787
17022021 maple syrup, certified organic 15,748,739 19,953,077 23,482,046 27,323,782
07134029 lentils, certified organic, dried, shelled/skinned/split 453,779 805,334 1,476,137 980,096
07134021 lentils, certified organic, green, incl french, dried, shelled/skinned/split 2,983,993 3,676,748 903,126 762,308
07134022 lentils, certified organic, red, dried, shelled,/skinned/split 0 0 13,773 43,440
10019929 wheat and meslin, certified organic 74,995 0 0 41,441
09012110 coffee, certified organic, 128,763 6,173 0 6,720
12040030 linseed, certified organic 44,112 0 0 0
12019020 soya beans, certified organic 19,998 27,123 0 0
10049010 oat, certified organic 0 116,057 0 0
07131029 peas, certified organic, 0 0 18,214 0

Source: Global Trade Tracker, 2021

*CAGR: Compound Annual Growth Rate

Market shares

Retail sales of organic packaged food in Germany reached US$4.1 billion in 2020, from US$3.6 billion in 2016, with a CAGR of 3.9% for the same period. The top five organic packaged food products (dairy, bread, chilled processed meat and seafood, baby food and confectionery) accounted for 77.6% of total organic packaged food sales in 2020.

Growth occurred across all organic packaged food sectors from 2016 to 2020 and is forecasted through 2025. Subsectors such as soups, edible oils, dairy, savoury snacks and ready meals all outpaced the growth of the overall organic food market and are forecasted to continue to do so.

Organic bread remains one of the largest categories, although its volume sales in normal years are now sluggish owing to its high level of maturity (Euromonitor International, 2021).

According to Euromonitor International, "Organic staples experienced dynamic growth. As regular pasta and rice were out of stock during the first lockdown in spring 2020, organic rice and pasta benefited and for the year as a whole each recorded rapid acceleration in volume growth compared with 2019. These categories also increased because people were cooking more meals at home. In 2020, the pasta manufacturer De Cecco launched a range of organic pasta, as well as gluten-free and wholegrain variants" (Euromonitor International, 2021).

Retail Sales of Organic Packaged Food in Germany, Historical and Forecast, US$ million
Category 2016 2020 CAGR* % 2016-2020 2021 2025 CAGR* % 2021-2025
Total 3,557.3 4,141.6 3.9 4,259.0 4,950.7 3.8
Dairy 837.4 1,128.9 7.8 1,174.5 1,433.5 5.1
Bread 753.9 767.3 0.4 781.2 878.0 3.0
Chilled processed meat and seafood 489.7 553.6 3.1 567.1 635.6 2.9
Baby food 418.1 423.3 0.3 437.1 493.4 3.1
Confectionery 291.8 339.1 3.8 353.8 420.1 4.4
Shelf stable meat, seafood, fruit and vegetables 164.8 184.9 2.9 189.8 213.4 3.0
Spreads 136.8 174.0 6.2 172.0 194.0 3.1
Frozen meat, seafood, fruit and vegetables 138.9 154.8 2.7 158.2 177.7 2.9
Edible oil 71.4 96.5 7.8 98.3 117.0 4.4
Ready meals 52.5 69.2 7.1 71.2 86.0 4.8
Breakfast cereals 57.4 67.9 4.3 69.5 80.8 3.8
Sauces, dressings and condiments 35.8 46.4 6.7 45.6 51.9 3.3
Sweet biscuits, snack bars and fruit snacks 29.6 36.8 5.6 38.6 46.1 4.5
Rice, pasta and noodles 27.8 34.2 5.3 34.5 41.9 5.0
Savoury snacks 25.7 33.9 7.2 35.7 43.7 5.2
Ice cream 20.6 23.9 3.8 24.8 29.3 4.3
Soup 5.1 6.9 7.8 7.1 8.3 4.0

Source: Euromonitor International, 2021

*CAGR: Compound Annual Growth Rate

In 2020, the top five organic packaged food companies accounted for 18.9% of total market share. Alnatura Produktions- & Handels GmbH lead value sales in 2020 with a 7.2% market share. DMK Deutsches Milchkontor GmbH experienced the highest growth among the top five companies, with a CAGR of 57.2% from 2016 to 2020.

Artisanal products have a significant share in organic packaged food, largely due to the wide availability and strong sales of artisanal organic bread (Euromonitor International, 2021). Sales of organic packaged food are also largely driven by organic private-label ranges, whose collective share is 35.5% of the total category in 2020.

Retail Sale Shares for Organic Packaged Food by Company, in US$ million
Company Name 2016 2017 2018 2019 2020 CAGR* % 2016-2020
Total 3,557.3 3,804.3 4,049.4 3,932.7 4,141.8 3.9
Alnatura Produktions - & Handels GmbH 250.0 262.5 287.2 283.1 300.2 4.7
Hipp GmbH & Co Vertrieb KG 232.2 236.6 249.0 241.4 256.4 2.5
Andechser Molkerei Scheitz GmbH 65.0 71.7 80.2 78.6 81.8 5.9
Rapunzel Naturkost GmbH 69.4 73.9 79.9 77.7 80.6 3.8
DMK Deutsches Milchkontor GmbH 10.5 10.2 7.8 66.6 64.1 57.2
Private Label 1,253.2 1,350.4 1,452.1 1,403.3 1,472.1 4.1
Artisanal 348.9 364.8 388.0 359.8 373.6 1.7
Others 1,328.1 1,434.2 1,505.2 1,422.2 1,513.0 3.3

Source: Euromonitor International, 2021

*CAGR: Compound Annual Growth Rate

Retail sales of organic packaged beverage products in Germany reached US$874.6 million in 2020, from US$637.7 million in 2016, with a CAGR of 8.2% for the same period. The top three organic packaged beverage products (non-cola carbonates, fresh coffee and fruit/herbal tea) accounted for 85.9% of total organic packaged beverage products sales in 2020. Growth occurred across all organic packaged beverage sectors from 2016 to 2020 and is forecasted through 2025.

Organic juice is expected to become more popular as consumers will increasingly look for organic alternatives. Juice has gained some attention as a health booster, especially for children (Euromonitor International, 2021).

Retail Sales of Organic Packaged Beverage Products in Germany, Historical and Forecast, US$ million
Category 2016 2020 CAGR* % 2016-2020 2021 2025 CAGR* % 2021-2025
Total 637.7 874.6 8.2 911.7 1,149.8 6.0
Hot drinks 328.8 436.4 7.3 457.7 612.9 7.6
Coffee 213.0 295.0 8.5 314.0 438.8 8.7
Fresh coffee 192.3 269.2 8.8 287.8 407.6 9.1
Instant coffee 20.7 25.8 5.7 26.2 31.3 4.5
Tea 108.5 133.9 5.4 136.1 165.5 5.0
Black tea 21.6 26.6 5.3 27.1 33.1 5.1
Fruit/herbal tea 70.0 86.9 5.6 88.5 108.0 5.1
Green tea 16.9 20.4 4.8 20.4 24.4 4.6
Other hot drinks 7.3 7.5 0.7 7.6 8.6 3.1
Chocolate-based flavoured powder drinks 7.3 7.5 0.7 7.6 8.6 3.1
Soft drinks 308.9 438.2 9.1 454.0 536.9 4.3
Non-cola carbonates 275.8 395.5 9.4 410.2 481.0 4.1
Concentrates 1.1 2.2 18.9 2.4 3.3 8.3
Fruit/vegetable juice 32.1 40.5 6.0 41.4 52.6 6.2
100% juice 28.6 36.5 6.3 37.3 47.9 6.5
Nectars (25% to 99% juice) 3.5 4.1 4.0 4.1 4.7 3.5

Source: Euromonitor International, 2021

*CAGR: Compound Annual Growth Rate

In 2020, the top five organic packaged beverage companies accounted for 31.6% of total market share. Coca-Cola leads value sales in 2020, with a 9.6% share. East West Tea Co LLC experienced the highest growth among the top five companies, with a CAGR of 11.1% from 2016 to 2020.

Euromonitor International reported that "[t]here is also a strong private label presence in organic beverages, with all major modern grocery retailers in Germany having their own organic beverages product lines, such as supermarket chains Rewe and Edeka as well as the discounters Aldi and Lidl. Furthermore, Alnatura, the largest organic supermarket chain in Germany, is the second largest player in organic beverages. However, while many consumers are happy to opt for the cheaper prices offered by many private label lines, others are increasingly choosing more premium products" (Euromonitor International, 2021).

Retail Sale Shares for Organic Packaged Beverages by Company, in US$ million
Company Name 2016 2017 2018 2019 2020 CAGR* % 2016-2020
Total 637.7 694.6 795.1 821.3 874.7 8.2
Coca-Cola Co 61.9 72.6 83.4 80.7 84.1 8.0
Alnatura Produktions - & Handels GmbH 60.2 65.2 67.3 62.5 63.5 1.3
Gepa Fair Handelshaus 37.6 43.0 47.4 46.3 48.1 6.4
Hassia Gruppe 39.7 41.7 47.6 N/C
East West Tea Co LLC 21.9 24.4 31.5 31.4 33.4 11.1
Private Label 124.4 136.4 147.5 143.6 149.3 4.7
Others 331.7 353.0 378.3 415.1 448.7 7.8

Source: Euromonitor International, 2021

*CAGR: Compound Annual Growth Rate

N/C: Not calculable

Distribution channels

According to United States Department of Agriculture, "there are over 2,400 organic food retail shops in Germany. The company "Denn's" is the only truly nationwide store. It records the highest sales and number of outlets. Other big organic food chains are regional or in larger cities only" (United States Department of Agriculture, 2021).

In 2020, grocery retailers (92.6%) and mixed retailers (3.0%) sold most of the organic packaged food (95.6%). Discounters and supermarkets remained the dominant sale distribution channel for organic packaged food. E-commerce continued to gain share, with a CAGR of 5.3% from 2016 to 2020.

Organic Packaged Food Distribution Channels in Germany: % Breakdown, 2016 to 2020
Outlet Type 2016 2017 2018 2019 2020 CAGR* % 2016-2020
Store-Based Retailing 97.3 97.3 97.3 97.2 96.9 −0.1
Grocery retailers 92.9 92.9 92.9 92.8 92.6 −0.1
Modern grocery retailers 84.0 84.2 84.4 84.5 84.5 0.1
Convenience stores 0.8 0.8 0.9 0.9 0.9 3.0
Discounters 40.5 40.7 40.9 40.9 40.8 0.2
Forecourt retailers 0.9 0.9 0.9 0.9 0.9 0.0
Hypermarkets 13.6 13.5 13.4 13.3 13.1 −0.9
Supermarkets 28.1 28.2 28.3 28.6 28.7 0.5
Traditional grocery retailers 8.8 8.7 8.5 8.2 8.0 −2.4
Food/drink/tobacco specialists 1.6 1.6 1.5 1.5 1.5 −1.6
Independent small grocers 0.9 0.9 0.9 0.9 0.9 0.0
Other grocery retailers 6.3 6.2 6.0 5.8 5.6 −2.9
Non-grocery specialists 1.4 1.3 1.3 1.3 1.3 −1.8
Mixed retailers 3.1 3.1 3.1 3.0 3.0 −0.8
Non-store retailing 2.7 2.7 2.7 2.8 3.1 3.5
Vending 0.5 0.5 0.5 0.5 0.5 0.0
Home shopping 0.8 0.8 0.8 0.9 0.9 3.0
E-commerce 1.3 1.4 1.4 1.5 1.6 5.3
Total 100.0 100.0 100.0 100.0 100.0

Source: Euromonitor International, 2021

*CAGR: Compound Annual Growth Rate

In 2020, grocery retailers (78.8%) and non-grocery specialists (13.3%) sold most of the organic packaged food (92.1%). Hypermarkets gained market share for organic packaged beverage, from 11.2% in 2016 to 11.9% in 2020, at a CAGR of 1.5% during the same period.

Organic Packaged Beverage Distribution Channels in Germany: % Breakdown, 2016 to 2020
Outlet Type 2016 2017 2018 2019 2020 CAGR* % 2016-2020
Store-based retailing 91.7 91.7 91.9 91.9 92.1 0.1
Grocery retailers 78.1 78.1 78.4 78.6 78.8 0.2
Modern grocery retailers 55.0 55.3 55.3 55.3 55.6 0.3
Convenience stores 1.4 1.4 1.4 1.3 1.3 −1.8
Discounters 25.5 25.6 25.6 25.7 25.8 0.3
Forecourt retailers 2.9 2.9 2.8 2.8 2.8 −0.9
Hypermarkets 11.2 11.5 11.7 11.8 11.9 1.5
Supermarkets 13.9 13.9 13.8 13.7 13.9 0.0
Traditional grocery retailers 23.1 22.8 23.0 23.2 23.2 0.1
Food/drink/tobacco specialists 4.5 4.5 4.4 4.4 4.3 −1.1
Independent small grocers 0.6 0.6 0.6 0.6 0.6 0.0
Other grocery retailers 18.0 17.7 18.0 18.3 18.3 0.4
Non-grocery specialists 13.6 13.6 13.5 13.4 13.3 −0.6
Non-store retailing 8.3 8.3 8.2 8.1 7.9 −1.2
Vending 0.4 0.4 0.4 0.4 0.4 0.0
E-Commerce 2.2 2.2 2.2 2.2 2.1 −1.2
Direct Selling 5.7 5.7 5.6 5.5 5.4 −1.3
Total 100.0 100.0 100.0 100.0 100.0

Source: Euromonitor International 2021

*CAGR: Compound Annual Growth Rate

Subsector growth

Organic dairy

Significant growth occurred across the entire organic dairy sector from 2016 to 2020. Over the forecast period, however, growth is expected to be slower. The main subsectors that make up organic dairy are milk, cheese, yogurt and butter and spreads. Milk has experienced high growth over the last 5 years relative to the overall dairy category, but cheese, cream and yogurt have all grown less rapidly than the overall sector. Looking forward, all of these subsectors are expected to slow down along with the entire dairy sector.

Euromonitor International found that "[o]rganic dairy saw additional demand in 2020. Because of home seclusion during COVID-19, consumers became more evaluative of their lifestyles and choices, showing more concern about natural ingredients, food provenance and sustainability" (Euromonitor International, 2021).

Retail Sales for the Organic Dairy Subsector - Historical and Forecast, in $US million
Category 2016 2020 CAGR* % 2016-2020 2021 2025 CAGR* % 2021-2025
Organic Dairy 837.4 1,128.9 7.8 1,174.5 1,433.5 5.1
Milk 277.3 416.1 10.7 440.0 565.5 6.5
Cheese 190.9 250.8 7.1 259.9 319.2 5.3
Yoghurt 127.5 147.2 3.7 150.6 175.2 3.9
Butter and spreads 78.0 108.4 8.6 111.9 131.9 4.2
Cream 80.9 100.3 5.5 102.8 116.3 3.1
Fresh cheese and quark 65.9 85.4 6.7 87.7 100.5 3.5
Sour milk products 14.6 17.8 5.1 18.3 21.3 3.9
Flavoured milk drinks 2.3 3.0 6.9 3.1 3.6 3.8

Source: Euromonitor International, 2021

*CAGR: Compound Annual Growth Rate

Organic baby food

The organic baby food market increased slowly from 2016 to 2020, but it is expected to grow faster over the 2021-2025 forecast period. Other baby food was the fastest growing subsector from 2016 to 2020 and is expected to continue outpacing other subsectors of organic baby food. Prepared baby food makes up the largest portion of organic baby food. The market for organic milk formula has shrunk in importance between 2016 and 2020.

Retail Sales for the Organic Baby Food Subsector - Historical and Forecast, in $US million
Category 2016 2020 CAGR* % 2016-2020 2021 2025 CAGR* % 2021-2025
Baby food 418.1 423.3 0.3 437.1 493.4 3.1
Prepared baby food 220.1 242.4 2.4 244.4 286.8 4.1
Milk formula 141.5 115.5 −4.9 127.4 129.6 0.4
Other baby food 42.3 50.1 4.3 50.1 59.6 4.4
Dried baby food 14.2 15.3 1.9 15.1 17.4 3.6

Source: Euromonitor International, 2021

*CAGR: Compound Annual Growth Rate

The organic baby food sector is very concentrated; Hipp had a 60.6% market share in 2020, and their closest competitor, BWK GmbH, made up 14.5% of the sector in the same year.

Based on the analysis from Euromonitor International, "Hipp has a product range almost entirely composed of organic products, with the company having a particularly strong presence in prepared, dried and other baby food. Hipp also holds a major share of organic milk formula sales. Hipp continued to increase its share in organic milk formula, helped by widening distribution, over the review period. Also, in 2018, the company launched a new and wide range of snack products targeted at children aged three and older. These products are organic, contain no artificial ingredients and have less salt and fat than other products aimed at children. Hipp's portions have also been adjusted to suit the needs of children, while in addition it has sought to make its products stand out from the crowd in a very competitive environment through colourful designs and innovative packaging formats" (Euromonitor International, 2021).

Retail Sale Shares for Organic Baby Food Subsector by Brand: % Breakdown, 2016 to 2020
Brand name Company name 2016 2017 2018 2019 2020 CAGR* % 2016-2020
Hipp Hipp GmbH & Co Vertrieb KG 55.5 55.9 57.2 58.6 60.6 2.2
Alete DMK Deutsches Milchkontor GmbH 14.5 14.5 N/C
Töpfer Töpfer GmbH 2.7 2.5 2.6 2.6 2.8 0.9
Alnatura Alnatura Produktions- & Handels GmbH 2.2 2.2 2.3 2.4 2.4 2.2
Holle Holle Baby Food GmbH 0.7 0.7 0.8 0.9 1.1 12.0
Private label Private Label 0.4 0.3 0.3 0.3 0.3 −6.9
Others Others

38.5

38.4 36.8 20.7 18.3 −17.0
Total Total 100.0 100.0 100.0 100.0 100.0

Source: Euromonitor International, 2021

*CAGR: Compound Annual Growth Rate

N/C: Not calculable

Organic hot drinks

In 2020, the top five brands represented 39.9% of total organic hot drinks retail sales. Cupper experienced the fastest growth in retail sales share, at a CAGR of 38.4% from 2016 to 2020.

German consumers are willing to pay an additional amount in order to contribute to a more sustainable environment, especially in relatively cheap areas like hot drinks, despite the fact that prices for organic products tend to be higher (Euromonitor International, 2021). Organic hot drinks sales will be driven by growing demand for premium coffee and tea over the coming years, with many German people now working from home and looking to recreate on-trade experiences (Euromonitor International, 2021).

Retail Sale Shares for Organic Hot Drinks Subsector by Brand: % Breakdown, 2016 to 2020
Brand name Company Name 2016 2017 2018 2019 2020 CAGR* % 2016-2020
Alnatura Alnatura Produktions- & Handels GmbH 16.0 16.1 14.9 13.3 12.9 −5.2
Gepa Gepa Fair Handelshaus 11.4 11.9 11.9 11.1 11.0 −0.9
Yogi Tea East West Tea Co LLC 6.7 6.8 7.9 7.6 7.7 3.5
Edeka Edeka Zentrale AG & Co KG 4.7 5.0 5.1 5.0 5.0 1.6
Cupper Koninklijke Wessanen NV 0.9 2.5 3.0 3.3 3.3 38.4
Private label Private Label 31.2 31.6 30.8 29.0 28.7 −2.1
Others Others 29.1 26.1 26.4 30.7 31.4 1.9
Total Total 100.0 100.0 100.0 100.0 100.0

Source: Euromonitor International, 2021

*CAGR: Compound Annual Growth Rate

Product launch analysis

According to Mintel's global new products database (GNPD), there were 69,672 new food and drink products launched in Germany from 2016 to 2020, 17,588 of which featured an organic claim. In 2020, the top categories of food products offered were sauces and seasonings, snacks, bakery, dairy and hot beverages. The top brands were DM Bio, Alnatura, Rossmann EnerBiO, Dennree and Naturgut. The top five locations of manufacture were Germany, Italy, Austria, France and Switzerland.

New Product Launches of Packaged Organic Food and Drink Products in Germany, 2016 to 2020
Product attributes Yearly launch counts
2016 2017 2018 2019 2020
Yearly product launches 3,497 3,591 2,964 3,882 3,654
Top five categories
Sauces and seasonings 400 396 296 426 370
Snacks 348 370 300 403 388
Bakery 374 398 262 398 365
Dairy 339 310 265 331 282
Hot beverages 248 217 205 315 325
Imported status
Not imported 676 591 514 704 542
Imported 463 461 427 555 455
Top five brands
DM Bio 187 114 79 142 179
Alnatura 112 104 56 98 86
Rossmann EnerBiO 44 32 38 117 68
Dennree 80 70 43 35 42
Naturgut 57 25 28 39 72
Top launch types
New variety/range extension 1,569 1,627 1,303 1,628 1,479
New product 1,143 1,172 937 1,184 1,110
New packaging 512 553 567 840 805
Relaunch 236 208 134 214 234
New formulation 37 31 23 16 26
Top five flavours (includes blend)
Unflavoured/plain 1,264 1,266 1,056 1,209 1,262
Chocolate 45 58 41 67 62
Herbs/herbal 54 38 33 30 32
Coconut 49 42 29 45 16
Fruit 37 29 33 40 22
Top five ingredients
Sea salt 909 878 699 859 807
Waters 727 705 592 790 701
Sunflower seed oil 602 602 491 661 649
Unrefined natural sugar 515 519 396 526 473
Salt 404 452 388 523 497
Location of manufacture
Germany 676 591 514 704 542
Italy 152 151 142 191 167
Austria 49 58 55 80 55
France 35 34 33 41 34
Switzerland 29 24 20 48 28
Source: Mintel GNPD, 2021

Product examples

Organic Oat and Almond Drink
Source: Mintel GNPD, 2021
Company Berief Food
Brand Berief
Category Dairy
Import status Not imported
Store name REWE
Store type Supermarket
Date published May 2021
Launch type New variety / range extension
Price in local currency €1.79
Price in US dollars 2.17

Berief Bio Hafer Mandel (Organic Oat and Almond Drink) is now available. The ultra-heat-treated German product is said to be made from 9% oats and 2% almonds from Europe, is suitable for vegans, scores a B on the Nutri-Score scale, and is free from added sugar, GMO and lactose. It retails in a resealable 1-litre pack bearing the Naturland, EU Organic, EcoVeg, Facebook, Instagram and FSC Mix logos, as well as a QR code. According to the manufacturer, the company uses organic and regional ingredients from short delivery routes.

Organic Mozzarella
Source: Mintel GNPD, 2021
Company FD Mopro
Brand FD Mopro
Category Dairy
Location of manufacture Italy
Import status Imported product
Store name EDEKA center
Store type Mass merchandise / hypermarket
Date published July 2021
Launch type New variety / range extension
Price in local currency €2.99
Price in US dollars 3.55

Peynoos Bio Mozzarella (Organic Mozzarella) is now available. The pasta filata product is made of 100% organic buffalo milk, contains 52% fat in dry matter, and retails in a 245-gram pack featuring the EU Organic logo.

7-Grains Porridge
Source: Mintel GNPD, 2021
Company DM Drogerie Markt
Brand DM Bio
Category Baby food
Location of manufacture Austria
Import status Imported product
Store name dm-drogerie markt
Store type Drug store / pharmacy
Date published August 2021
Launch type New variety / range extension
Price in local currency €1.55
Price in US dollars 1.83

DM Bio 7-Korn Getreidebrei (7-Grains Porridge) is suitable for babies from 6 months of age. The unsweetened recipe contains 97% whole-grain cereals and is claimed to allow easy and versatile preparation. It is free from added sugar, added flavours, and added milk and dairy products. This product retails in a recyclable resealable 250-gram pack made from 85% recycled material, which bears the BIO and EU Organic logos.

Organic Lentil Puffs with Cheese & Chives
Source: Mintel GNPD, 2021
Company Pumpkin Organics
Brand Pumpkin Organics
Category Baby food
Store name dm-drogerie markt
Store type Internet / mail order
Date published May 2021
Launch type New product
Price in local currency €0.75
Price in US dollars 0.91

Pumpkin Organics Bio Linsen Puffs mit Käse und Schnittlauch (Organic Lentil Puffs with Cheese & Chives) are described as an extra crispy and airy snack made with puffed lentils, cheese and chives, and are not fried. The product is ideal for small palates and teeth to suck and chew, to learn to eat independently and to facilitate teething. This vegetarian product is made exclusively with organic ingredients, is a natural source of fibres, features a natural flavour, and is free from gluten and added sugar. It is suitable for babies from 12 months of age, and retails in a 20-gram pack bearing the BIO and EU Organic logos, as well as a QR code.

Fine Millet Porridge with Rice and Corn
Source: Mintel GNPD, 2021
Company HiPP
Brand HiPP Bio
Category Baby food
Store name dm-drogerie markt
Store type Internet / mail order
Date published August 2021
Launch type New variety / range extension
Price in local currency €1.95
Price in US dollars 2.30

HiPP Bio Getreidebrei Feine Hirse mit Reis und Mais (Fine Millet Porridge with Rice and Corn) is suitable for babies from 5 months of age. The recipe contains natural organic wholegrain cereals grown without synthetic pesticides or quick-grow fertilisers, and is free from gluten, milk, added sugar and flavours. It is enriched with vitamin B1, which is said to be important for the nervous system. This climate-neutral product has undergone the strictest quality controls in Europe, it adheres to stricter guidelines than required by law, has been made traditionally and retails in a 200-gram partly recyclable and recycled pack printed with mineral-oil free ink based on vegetable oils, sufficient for circa nine portions and bearing the EU Organic and DLG DAAB logos.

Organic Blueberry Cakes
Source: Mintel GNPD, 2021
Company Pomone
Brand Pomone
Category Bakery
Market Germany
Location of manufacture France
Import status Imported product
Store name Alnatura
Store type Natural / health food store
Date published August 2021
Launch type New variety / range extension
Price in local currency €3.49
Price in US dollars 4.12

Pomone Moelleux Bio Blaubeerkuchen (Organic Blueberry Cakes) are now available. The soft product is fully baked and retails in a 160-gram pack containing two 80-gram units and bearing the AB Certified and EU Organic logos.

100% NFC Cranberry Juice
Source: Mintel GNPD, 2021
Company Voelkel
Brand Für
Category Juice drinks
Market Germany
Store name Famila
Store type Mass merchandise / hypermarket
Date published June 2021
Launch type New variety / range extension
Price in local currency €3.99
Price in US dollars 4.73

Für Cranberry 100% Direktsaft (100% NFC Cranberry Juice) has been added to the range. This organic product comprises 100% naturally cloudy cranberry juice with an intense taste, which has been obtained from freshly pressed cranberries. It is suitable for vegans and for consumption on the go, can be used in smoothies, desserts or salad sauces, and retails in a 0.33-litre pack, bearing the BIO, EU Organic and Demeter logos, as well as the Vegan V-Label seal by the European Vegetarian Union.

BeeSunny Mint Apple Organic Herbal Tea
Source: Mintel GNPD, 2021
Company Meßmer
Brand Meßmer
Category Hot beverages
Market Germany
Store name Marktkauf
Store type Supermarket
Date published June 2021
Launch type New variety / range extension
Price in local currency €2.99
Price in US dollars 3.64

Meßmer Bio BeeSunny Minze-Apfel Bio Kräutertee (BeeSunny Mint Apple Organic Herbal Tea) has been added to the range. The product combines sweet apple with fresh mint, contains certified organic ingredients harvested by traditional mountain farmers from Mühlviertel in Austria, is suitable for vegans, and is naturally free from lactose and gluten. It retails in a 40-gram pack containing 20 2-gram double-chamber tea bags without metal clips and bearing the BIO and EU Organic logos. According to the manufacturer, the company is in collaboration with Netzwerk Blühende Landschaft (Blooming Landscape Network), claimed to develop a total of 50,000 square metres of flower meadows for bees.

Organic Lungo Forte Coffee Capsules
Source: Mintel GNPD, 2021
Company Kaufland Warenhandel
Brand K Bio
Category Hot beverages
Store name Kaufland
Store type Mass merchandise / hypermarket
Date published June 2021
Launch type New variety / range extension
Price in local currency €1.99
Price in US dollars 2.42

K Bio Gemahlener Bio-Röstkaffee in Kapseln (Organic Lungo Forte Coffee Capsules) are described as ground 100% arabica roast coffee in capsules. The product is 100% home compostable, features a density level of 6 out of 12, is suitable for Nespresso machines, and is free from aluminium. It retails in a 52-gram pack containing 10 5.2-gram units, and bearing the Fairtrade, EU Organic, TUV Austria and FSC Mix logos.

Fruit & Cereal Coffee
Source: Mintel GNPD, 2021
Company Campo Verde
Brand Campo Verde
Category Hot beverages
Market Germany
Location of manufacture Switzerland
Store name Marktkauf
Store type Supermarket
Date published May 2021
Launch type New packaging
Price in local currency €4.99
Price in US dollars 6.04

Campo Verde Fruit & Cereal Coffee (Frucht- und Getreidekaffee) has been repackaged. The full-bodied premium product from Switzerland contains ingredients from organic-dynamic agriculture and is free from caffeine. It can be prepared with hot water and retails in a 100-gram pack, which bears the EU Organic and Demeter logos.

For more information

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For additional information on Anuga 2021 in Germany, please contact:

Ben Berry, Deputy Director
Trade Show Strategy and Delivery
Agriculture and agri-food Canada
ben.berry@agr.gc.ca

Resources

Sector Trend Analysis – Packaged organic products in Germany
Global Analysis Report

Prepared by: Zhiduo Wang, Market Analyst

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