Organic foods have become a major aspect of sustainability. And worldwide organic food and drink sales surpassed $100 billion for the first time in 2018, according to new research by Ecovia Intelligence. This marks an increase of 6% from the 2017.
The report notes that the largest markets for organic products are in North America and Europe. The combined revenue share of these two regions is 90%. Although sales remain concentrated in these regions, revenue share has declined from 97% in 2005. A number of countries with a strong tradition of exporting organic crops are now developing strong internal markets; these countries include China, India and Brazil.
In terms of country markets, the US has the largest market for organic food and drink, comprising about 45% of global sales. The German, French, Italian and Canadian markets are the next largest. In terms of market share, Denmark leads with almost 14% share of retail food sales. The highest spenders of organic products are in Switzerland, Denmark, Sweden and Austria.
Rising consumer awareness of organic products and widening availability are two major drivers of global growth. Distribution of organic foods is increasing in supermarkets, discounters, drugstores, pharmacies and the catering and foodservice sector. Organic ingredients are being used in a growing number of European and North American foodservice establishments. Chained outlets, including McDonald’s and Pret A Manger, are also making commitments to organic product sourcing.