Organic sales rocket, but wheat shortages loom

18 January, 2008
Page 4 
bakery market was worth £42m in the year to November 2007, representing a small proportion of the total organic food market in the UK, which stands at £2bn.
The new research, conducted by Leatherhead Food International, also found that organic bread is worth £26m, up 25.3% in the past year.The report, which was commissioned by ingredients supplier British Bakels, claimed that "significant expansion of the organic bread market could be held back by a lack of local wheat supplies". Most organic wheat is imported from Canada, the Ukraine and Kazakhstan."Bread lags behind other food products in terms of share of consumer spend," said Paul Morrow, MD of British Bakels. "If we were to achieve the same share for organic bread of the retail market as the majority of other organic products, sales would virtually double."The report found there has been limited activity in the organic cakes market. "Consumers shopping for cakes are more likely to base choices on convenience or indulgence than ethical concerns," said the report. See 1 February, 2008, issue for more on the organic market.



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