Delivering the week’s top organic food news
4.26.2023
100% Non-GMO

What Recent Grocery Shopping Trends are Telling Us


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As consumers face fears of inflation and a much more challenging economic situation, the short-term outlook for organic remains uncertain.

Yet, what’s quite clear is that the organic industry’s continued inability to convey its value proposition to shoppers has resulted in an extraordinary amount of lost sales.

Here is a look at the data.

The recently released 2023 U.S. Grocery Shopping Trends report, from FMI — The Food Industry Association and The Hartman Group, reveals that while U.S. shoppers remain concerned about rising food prices, consumers are less likely to cut back on the number of items they purchase.

Among shoppers who are concerned about rising food prices, only 32% of shoppers in February reported buying fewer items as a strategy to address rising prices, down from 41% in October. Instead, shoppers continue to look for deals across multiple channels — supermarkets, mass retailers, club stores and online — to mitigate the impact of higher food prices on their budgets.

Other points of note:

  • Baby Boomers are more worried about rising food prices than any other group, with 80% showing concern in February 2023 versus 69% in October 2022. 76% of Millennials said they are concerned, 5% more than one year ago.
  • 68% of shoppers report spending more on groceries than one year ago; 7% say they spend less.
  • Households with children reported the greatest increase in grocery spending year over year.
  • 55% of those polled are concerned with rising prices at restaurants, up from 50% in October.

When it comes to organic, the situation in Europe may foreshadow what is to come in the U.S., and if that is the case, there is real reason for concern.

  • In Denmark, sales of organic food in 2022 dropped by 3%, a decline for the first time since reporting began in 2003.
  • Again, for the first time ever, Germany’s organic food market shrunk. From January to October 2022, sales of organic fell by 4.1%, with volumes declining by 5.7%.
  • In France, for the second year in a row, sales declined in 2022 — a contraction of 6.3%.

Back in the U.S., according to the Q1 2023 Organic Produce Performance Report, sales of fresh organic produce grew by less than 1% in overall dollar sales, with volume decreasing by 3.4%.

The 2023 U.S. Grocery Shopping Trends report also had two notable organic-related items.

1) Among the 75% of shoppers who are concerned with rising food prices, 13% do not buy organic. This number is down from 18% in October 2022, so a definite improvement.

2) Product claims shoppers seek when purchasing a food product:

  • 24% — No artificial ingredients
  • 22% — No preservatives
  • 19% — Natural
  • 13% — Certified organic
  • 12% — Not bioengineered
  •   9% — Gluten-free

Out of all the data, the product claim statistics are the ones that are the most disturbing.

While we are somewhat limited in how we can lessen the impact of macroeconomic factors, there is plenty the organic industry can do to educate consumers that organic inherently means “no artificial ingredients” and “no preservatives,” and that the “natural” label is far inferior to “certified organic.” This is because the USDA organic seal has third-party standards, certification and enforcement, while “natural” has none of that.

The shoppers seeking these three product claims are precisely the individuals that organic brands should be targeting. They are already actively seeking out better-for-you options, yet one could speculate that a majority of them do not know that these product claims are not independently verified, unlike the case with “certified organic.”

What this points to is that the industry has done a poor job of communicating to consumers what organic means.

Until then, we will continue to give away hundreds of millions, if not billions, of dollars in yearly sales to conventional brands.

A very sobering thought, especially at a time when organic has never been more important to both human and environmental health.

With gratitude,

Max Goldberg, Founder

This Week's Quick Hits

Quick Hits

* Patagonia founder Yvon Chouinard was named as one of the 100 Most Influential People by TIME.


* Daily Harvest x SIMPLi ancient grain collaboration.


* Lisa Bronner’s new book, Soap & Soul: A Practical Guide to Minding Your Body, Your Home, and Your Spirit with Dr. Bronner’s Magic Soaps, is now available for pre-order.


* This documentary looks amazing.


* Uncle Matt’s Organic gets a shout-out as a featured ingredient in Taylor Swift’s Empress Lavender Haze cocktail.


* In partnership with rePurpose Global, Lemon Perfect is now certified Plastic Neutral.


* Rising NBA stars discuss plant-based diets and Sakara.


* Natural Grocers is promoting “Regenerative Renegades” within its new Meet Your Farmer film series.


* Lotus Foods has released an updated 2022 Impact Report, highlighting climate- and women-friendly rice growing methods.


* Eagle Protect is warning of glove contamination in the industry, leading to recalls.


* In Greenwich, Mike’s Organic will be opening on April 29th.


* Please tell Ama Fruits to bring back its frozen organic cupuaçu. A phenomenal and very hard-to-find product.


New Organic Products

New Organic Products

organic purple rice from Ocean's Halo

Purple Rice from Ocean's Halo

Ocean’s Halo has recently expanded its product portfolio with the introduction of Organic Purple Rice. Also known as black rice or forbidden rice, it contains anthocyanins, which may reduce blood pressure and heart disease risk. Exclusively available at Whole Foods Market for the next few months.      
recoup roc regenerative organic certified beverages

Regenerative Organic Certified® Ginger and Maple Water Beverages from Recoup

Recoup has become the first beverage brand to become Regenerative Organic Certified® across its entire portfolio. With both ginger and maple water serving as foundational ingredients, the company has four different flavors -- Lemon Lime Ginger, Pineapple Coconut Ginger, Watermelon Blood Orange Ginger and Cucumber Lemon Ginger. Available online and at select retailers in the Northeast.
organic macadamia nut milk from plantbaby kiki mac nut vegan organic

Mac Nut Kiki Milk from PlantBaby

New from PlantBaby is Mac Nut Kiki Milk. Along with macadamia nuts, other ingredients include cashews, Brazil nuts, sprouted pumpkin seeds, oats, coconut sugar, coconuts and Aquamin. This carbon-neutral, certified organic beverage contains no seed oils, gums, refined sugars, soy or gluten, and it has been third-party tested for glyphosate and heavy metals. Available online.
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Carbon Farmer Hazy IPA from Hopworks Brewery

In partnership with New Seasons Market and available at all of its Portland-area grocery stores, Hopworks Brewery has come out with a limited-edition Carbon Farmer Hazy IPA. It is made with Kernza, an ecologically beneficial and perennial grain, and a portion of all proceeds from this certified organic beer will be donated to Zero Foodprint, an environmental impact organization.

This Week's News Items

Weekly News Summaries

First Course
OrganicEye

Report: Corporate Control of Organic is Intensifying

By Mark Kastel

In a new report by watchdog group OrganicEye, the interests of organic consumers and small farmers are being pushed aside as corporations consolidate their control of the industry.

AgInfo

California Flooding Hits Organic Farms

By Bob Larson

Across the Sacramento Valley, organic farmers have reported harvest and planting delays, which will be felt for months.

NewsRadio 1040 WHO

Iowa Man Pleads Guilty To Fraud In Organic Grain Case

By Sue Danielson and Emory Miller

Court records state 48-year-old Mark Haines sold grain that he said was organic, when in fact it violated the USDA's organic program.

Second Course
Lancaster Farming

Retiring Rodale Institute CEO Reflects on 47 Years in the Organic Industry

By Dan Sullivan

After nearly five decades at the organization and having taken Rodale to unprecedented heights, Jeff Moyer reflects on his journey.

Center for Food Safety

Farmers and Conservationists Ask the Court to Strike Down Crop-Damaging Dicamba Pesticide

The toxic drift from the super-toxic dicamba continues to harm millions of farmland acres, wild places and endangered species.

Dairy Reporter

How a Texas Organic Dairy is Adopting a Fully Closed-Loop System

By Teodora Lyubomirova

Natural Prairie Dairy is upcycling manure into clean water, ammonia and fertilizer, allowing it to become more self-sufficient in a tumultuous market.

Third Course
Yahoo!

Whole Foods to Cut Hundreds of Corporate Roles

The company plans to make changes to some regional and global support teams over the next two months, and the changes won’t result in any store closures.

CNBC

Global Rice Shortage is Set to be the Biggest in 20 years

By Lee Ying Shan

There’s a strained supply of rice due to the ongoing war in Ukraine and weather woes in rice-producing economies like China and Pakistan.

Food Business News

Big Food Lobbyists Oppose California Bill Targeting Chemicals

By Josh Sosland

Not surprisingly, major food and beverage trade groups are fighting hard to not have very questionable ingredients banned.


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This Week's Quick Hits

Quick Hits

* Patagonia founder Yvon Chouinard was named as one of the 100 Most Influential People by TIME.


* Daily Harvest x SIMPLi ancient grain collaboration.


* Lisa Bronner’s new book, Soap & Soul: A Practical Guide to Minding Your Body, Your Home, and Your Spirit with Dr. Bronner’s Magic Soaps, is now available for pre-order.


* This documentary looks amazing.


* Uncle Matt’s Organic gets a shout-out as a featured ingredient in Taylor Swift’s Empress Lavender Haze cocktail.


* In partnership with rePurpose Global, Lemon Perfect is now certified Plastic Neutral.


* Rising NBA stars discuss plant-based diets and Sakara.


* Natural Grocers is promoting “Regenerative Renegades” within its new Meet Your Farmer film series.


* Lotus Foods has released an updated 2022 Impact Report, highlighting climate- and women-friendly rice growing methods.


* Eagle Protect is warning of glove contamination in the industry, leading to recalls.


* In Greenwich, Mike’s Organic will be opening on April 29th.


* Please tell Ama Fruits to bring back its frozen organic cupuaçu. A phenomenal and very hard-to-find product.


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