Editors
Helle Bossen, hb@okologi.dk
Vivienne Kallmeyer, vk@okologi.dk
Anne Snog Folmann, asf@okologi.dk
Trend article writer
Vivienne Kallmeyer, vk@okologi.dk
Layout
Eva Krebs Larsen, ekl@okologi.dk
Published by Økologisk Landsforening (Organic Denmark) Agro Food Park 26, 8200 Aarhus, Denmark økologi.dk
BY CARSTEN AHRENFELDT MARKET DIRECTOR OF ORGANIC DENMARK
We all now know that what started with a global pandemic, and was later followed by energy supply challenges, war in Ukraine, raw material shortages, and escalating inflation, has dealt a significant blow to the economy, including the organic market.Individually and spread over an extended period, these negative market influences would have been a challenge, but precisely because they all occurred within the past two years, they result in an accumulated, negative market impact.And that can be seen and felt.According to Statistics Denmark, the sales of organic products, measured in value, dropped by nearly three per cent from 2021 to 2022.
And we can see that the negative trend also characterises the beginning of 2023.The market and consumers have changed.The retail sector is going through a transitional period, with some chain formats exiting and others entering.We see that consumers increasingly prioritise price and bargain hunting when they do their grocery shopping. But as you will read in this market report, there are also bright spots.Foodservice, like all other industries, is challenged by rising prices, but after years of lockdown, we see the pent-up desire to go out, socialise and indulge in good food and drinks being let loose.So there’s wind in the sails for many foodservice establishments.We’re also seeing growth, new market opportunities and
momentum in the export sector. Furthermore, it’s positive that so many Danish consumers are staying loyal to organic products despite the financial challenges that have impacted household budgets and have been a mainstay of media coverage for a long time.Part of the explanation for the declining organic sales is indeed that people are buying fewer organic products, but another part is that consumers remain loyal to them and simply choose cheaper alternatives within this category.
Of course they do: the arguments for clean and healthy food, cleaner drinking water, better animal welfare (and all the other valid arguments organic food) are compelling and will continue to be so.As you will read in this market report, the retail sector acknowledges this.We’ve spoken with the Danish supermarket chains REMA 1000, Netto, Coop and Dagrofa.They all have examples of the pressure that organic producers are currently facing, but they also unanimously state that there’s light at the end of the tunnel, and therefore, they naturally continue to put organic products high on their agenda. We therefore sincerely hope that the retail sector won’t just pursue discount opportunities but also seize the opportunity for positioning in the category of premium organics that has been left by the supermarket chain Irma.This would be beneficial for the entire value chain.These are challenging and turbulent years for organic produce, but seen in a broader perspective, the recent ups and downs are ripples on a steadily rising and successful development curve for organic and more sustainable food production. Happy reading!
BY BIRGITTE JØRGENSEN
RETAIL MARKET DIRECTOR OF ORGANIC DENMARK
For the first time, retail sales of organic food have declined. When 2022 was summed up, Statistics Denmark reported a decrease of just under three per cent. This was slightly lower than expected, but the decline in volume, on the other hand, was nine per cent.We at Organic Denmark acknowledge that this is a challenge as companies need to reorient their production apparatus and goals.Looking ahead, Organic Denmark hopes for stabilisation in 2023, so that a new growth curve can begin.Data from the Kauza household panel indicates that retail sales in the first quarter of 2023 are at the same level as the fourth quarter of 2022.The financial crisis of 2022 has resulted in a reduction of the organic assortment in retail, an increase in private label share of organic products, the disappearance of several high-value organic positions, more organic sales through campaigns, and a larger share of sales in discount stores.Some of these trends are consequences of high inflation and the crisis. However, if the majority of the organic assortment is geared towards the cheapest options, it can contribute to a self-reinforcing negative impact on the market, whereby organic consumers can’t find the organic products or inspiration they seek.Similarly, there is a risk that the organic selection in stores will become similar regardless of whether it is a discount store or a supermarket.This
development, in the long run, does not support consumer demands for clean, healthy food and a more sustainable food system.
To foster future organic growth, the focus should be on maintaining the loyal, organic consumers who still account for the majority of organic purchases.This target group remains interested in a broad and diverse organic assortment consisting of both brands and private labels.They make sensible everyday purchases and indulge a bit more on weekends.These organic consumers still have significantly larger shopping baskets and are therefore economically valuable customers. Therefore, it is necessary to communicate organic values more explicitly to consumers, for example by using the principles of organic production to illustrate how and why organic food makes a tangible difference and why it costs more than conventional alternatives.This way, the added value becomes clear even to new generations. Retailers, producers and businesses all play a role in shaping the narrative and making organic products visible and valuable, for instance through packaging, sales flyers, signs, websites and social media.
Retail incl. online sales
billion
2.2 billion*
* Estimate Organic Denmark
In 2022, the organic market share in the retail sector in Denmark was 12.0 per cent in terms of value.Despite a decrease from 12.7 per cent in 2021, the share in 2022 remained above the pre-COVID-19 level.In 2019, the organic market share was 11.6 per cent. It is expected that Denmark will continue to have the highest organic market share in the world and maintain its title as the world champion of organic food.The next page shows a top ten list of countries with the highest organic market share in
2021.Here it can be seen that Denmark has the leading position with a market share of 12.7 per cent, followed by Austria with an organic market share of 11.6 per cent. Luxembourg took third place with an 11% share and Switzerland moved from third place in 2020 to fourth place in 2021 with a share of 10.9%. In 2021, our largest organic export market, Germany, moved from seventh to sixth place with 7.0 per cent, while Sweden was in fifth place with 8.9 per cent. Percentage organic market share 2021
Source: Statistics Denmark
SWITZERLAND
Source: FiBL Statistics 2023.
NB: The figures are from 2021, as this is the latest year for which we have comparable figures across countries. The organic market share for the US is as of 2020.
The fruit and vegetable category, in particular, has seen growth in recent years. This category now accounts for more than a third of the turnover in organic products in the grocery segment, making it the largest product group. The relatively high growth in the fruit and vegetable category is due to several factors.Firstly, organic products have become more accessible, and the range of organic options has become wider.Nowadays, it is possible to find a wide selection of organic fruits and vegetables in most grocery stores.Additionally, the price gap between conventional and organic varieties of many fruits and vegetables has
narrowed, while consumer desire for pesticide-free produce has increased.After fruits and vegetables, the dairy category accounts for 21 per cent of organic sales.Historically, dairy has often been referred to as the “locomotive” of organic food products.However, since 2015, the fruit and vegetable category has taken over this role.From 2015 to 2022, sales of organic fruits and vegetables have nearly tripled, from DKK 2.0 billion in 2015 to DKK 5.7 billion in 2022, while sales of organic dairy products have increased from DKK 1.9 billion in 2015 to DKK 2.9 billion in 2022.
Source: Statistics Denmark
ORGANIC MARKET SHARES FOR VARIOUS PRODUCT GROUPS, MEASURED IN TERMS OF VALUE – 2022
As the figure shows, there are significant differences in the organic market share across various product categories. The highest market shares are in staple products such as carrots, eggs, oats, milk, flour, cucumbers and apples, where the organic market shares all exceed 30 per cent. However, plant-based drinks and bananas have the highest organic market shares at 95.6 per cent and 79.6 per cent, respectively. The high share of organic plant-based drinks is due to a strong overlap between consumers seeking vegetable alternatives and those seeking organic products.The high market share for organic bananas is due to the fact that most chains only sold organic bananas in 2022.The high market shares for staple products reflect
the fact that these are typically the items consumers begin purchasing as organic products.Subsequently, organic consumption expands to include items such as juice, pasta and jam.
Data from Coop Analyse shows that there is actually an ‘organic ladder’ that consumers move up. The top steps of the organic ladder include fresh meat, deli meats, as well as more indulgent products like alcohol and chocolate. These product categories, therefore, have the lowest organic market shares.Therefore the organic market shares for chocolate and fizzy drinks are only 2.8 per cent and 1.2 per cent, respectively.
LOW < 10 PER CENT
The figure below shows that Netto maintains the largest share of the organic retail turnover with a market share of 19.9 per cent in 2022.In second place, REMA 1000 holds a market share of 16.5 per cent, with SuperBrugsen holding 16.2 per cent in third place. Together, these three chains accounted for over 50 per cent of the sales of organic products in the retail sector in 2022.The largest online provider of organic products in 2022 was Nemlig.com, with a market share of 5.7 per cent. By comparison, Nemlig.com had a market share of 9.8 per cent in 2021.Thus, there has been a significant decline in Nemlig.com’s market share, mainly because many consumers returned to their usual shopping patterns after the COVID-19 pandemic.In 2023, there will be
several changes in the Danish retail sector.Coop and Salling Group have closed their online channels Coop.dk Mad and føtex.dk, and Aldi will close all their stores in Denmark during the first half of 2023.The majority of Aldi’s stores will be taken over by REMA 1000.At the same time, Coop will reduce their eight chains to three:Coop, Brugsen and Coop 365discount.
The Coop chain will be the largest and will consist of the biggest stores in Kvickly, SuperBrugsen and Irma. The local stores in Dagli’Brugsen, as well as the stores not included in the Coop chain, will eventually be renamed Brugsen. Fakta’s stores will be converted into stores in Coop’s discount chain, 365discount. Source: Kauza’s
In 2022, 42.4 per cent of Irma’s food sales were organic, making Irma the chain with the highest percentage of organic food products. With the closure of Irma’s stores in 2023, the organic sector will lose its flagship outlets when it comes to offering the highest percentage of organic products. Nemlig.com comes in second place with 27.1 per cent,
followed by Kvickly, Fakta, Coop 365discount and SuperBrugsen, all of which had an organic percentage of over 15 per cent in 2022.Netto, which had the highest organic market share in 2022, had an organic percentage of 14.4 per cent, while REMA 1000’s organic percentage was 11.1 per cent.
Source: Kauza’s household panel
The figure below shows the chains’ organic potential. The size of the bubble indicates the potential defined as the total purchases of organic food by the chain’s customers both within and outside the chain. The figure shows that Netto and Rema 1000 have the most organic potential, mainly because most Danes shopped at their stores in 2022.
The vertical axis indicates customer loyalty to the chain’s organic products in relation to customer loyalty to the chain’s groceries in general. The chains located above the horizontal axis were relatively better at meeting their customers’ needs for organic products than groceries in general in 2022. On the other hand, the chains below the horizontal axis were relatively better at meeting their customers’ needs for groceries in general than organic products. The figure shows that Irma, Nemlig. com, Coop 365, Fakta, Kvickly, SuperBrugsen and Netto were relatively better at selling organic products than groceries in general
The horizontal axis shows how inclined the chain’s customers are to buy organic products compared to Danes in general. Chains located to the right of the vertical axis have customers who are relatively more oriented towards organic products than Danes in general. The figure shows that this is the case for Irma, Nemlig.com, Coop 365, Kvickly, Fakta, Dagli ́Brugsen and SuperBrugsen.
Rema 1000, føtex, Meny, Spar, Min købmand, Bilka and Løvbjerg are all chains which in 2022 were relatively better at selling general groceries than organic products, and whose customers were less likely to buy organic products than Danes in general. These chains have a lot of untapped organic potential which they can use by improving and marketing their organic product range, and locating their stores in areas where people are more inclined to buy organic products, such as the Greater Copenhagen area.
Coop experienced a slight slowdown in organic food sales in 2022 and a higher tendency of con sumers turning towards discount stores. Here, CSR manager Thomas Roland from Coop provides an update on organic food products in 2022 and the near future.
In our loyalty programme, we can see that many customers have opted for discounts on products such as Änglamark.We’ve made a special effort to communicate this.Änglamark has also recently been voted Denmark’s most sustainable brand by consumers, so there’s something to build on.”How do you see the organic segment developing in 2023?“We expect to slow the decline and stabilise organic sales.Like all consumer goods, organic products have been affected by rising prices.As inflation subsides – and we even anticipate price reductions in certain categories – we expect to regain some of the lost organic sales.However, since we’re closing the Irma chain and some of these stores will be converted into stores with a smaller organic selection, we’ll inevitably lose some of our organic market share.”
How has the organic assortment looked in 2022?And how do you think it will develop in the future?“The assortment in 2022 has remained relatively consistent compared to the previous year. Looking ahead, Coop is in a somewhat unique situation because we’ve chosen to close the Irma chain,
which had the most organic products in Denmark. The largest Irma stores will be transformed into stores within the new Coop chain, which we expect to offer a wide range of organic products.”How will you work to get consumers back on the organic track in the future, once the crisis is over?“We want to get back on the journey we’ve been on since 2015:providing a wide range of organic products in relevant categories,maintaining a focus on organic food in our own brands, exploring if there are more product categories where we can offer organic variants exclusively,and ensuring that prices are fair so customers can easily choose organic options while also supporting our organic suppliers.”
41% of organic turnover in the retail sector in Q1 2023 came from organic private labels.
Source: Kauza’s household panel
of Danes said in Q1 2023 that bargains were important for their choice of grocery store.
Source: Kauza Survey
While the retail sector as a whole experienced a decline in the sales of organic food in 2022, Dagrofa was able to achieve a growth of seven per cent in sales across retail and foodservice.The company aims to maintain its ambition of achieving an annual growth rate of 10 per cent in organic sales. Here, category director Michael Christensen from Dagrofa provides further insights. What was the organic development like in Coop in 2022?“We maintained the organic turnover at a reasonable level.There was a slight slowdown over the course of the year, particularly in meat.At the same time, we saw a shift away from traditional supermarkets towards discount stores, where the organic selection is slightly smaller.So we don’t anticipate a catastrophe in sales, but rather a slight decline.Organic products still account for approximately 16 per cent of food sales in Coop, measured in units.”What has Coop done in a competitive market to keep organic products top of mind?“We’ve continued to introduce organic products under our own brands, including 365Økologi and Änglamark, and have maintained the same focus on organic products in our marketing efforts.”
What was the organic development like in Dagrofa in 2022?“Overall, we see that organics are challenged by increased price consciousness among consumers in the retail sector during times of inflation, but we also see that it continues to be important for many consumers to buy organic. For example, during the rising inflation, consumers have turned more towards our own brands, including our own organic and environmentally conscious brand, Grøn Balance, which grew by 2.2 per cent in revenue in 2022.For the entire group, including foodservice, logistics and retail, the overall sales of organics have increased slightly in 2022, which we’re naturally pleased with, especially considering the current situation.”How will Dagrofa continue its work with organics?“Part of Dagrofa’s CSR strategy is to increase our sales of organic products, and we strategically work on making them visible in our stores, in the promotional catalogue and on our digital platforms so it’s easy for customers to navigate.Additionally,
we strategically work on continuously developing Grøn Balance, which embodies many of the values that consumers demand, at a good price.There is a high level of consumer trust in Grøn Balance, and customers generally feel that they get a great organic and eco-friendly product at a competitive price.”
What is the outlook for the future of organics in your opinion?“Organics have thrived in recent years, so it’s not surprising that there’s been a slowdown due to inflation and increased focus on price.Organics are still challenged by inflation, but since customers continue to demand organic products, it’s likely that we will see more organics as we move towards more normal conditions.Therefore, we continue to work on our initiatives and focus on increasing organic products in our stores, such as MENY, SPAR, Min Købmand and Let-Køb, as well as in our logistics and foodservice operations.”
The outlook for organic food sales in discount chains is brightening following a cautious 2022 for consumers.Both Netto and REMA 1000 expect a modest growth in organic sales from the end of 2023 and into 2024.
In 2022, both Danish discount chains experienced consumers who were highly focused on price and good deals.Inflation and rising prices of most everyday necessities forced many families to carefully budget their expenses, and for some, it also meant choosing to opt out of organic products.“We’ve seen consumer behaviour change faster than ever.Many people would like to buy organic products, but when they struggle with their personal finances and are affected when it comes to their most basic needs, they are forced to choose a cheaper alternative or completely forgo the organic option,” says Anders René Jensen, Procurement and Marketing Director at REMA 1000.Netto has seen the same trend in 2022.“Consumers have cut back on items where the price for the organic version is relatively high.This is especially true for meat and deli products,” says Martin Hasgard Olesen, Category Manager at Netto, and continues:“We’re maintaining stability regarding organic products, but the growth is currently is in non-organic items.”THE TREND WILL REVERSE IN AUTUMNBoth chains expect this trend to reverse in the autumn,provided there are no more major or unexpected events in the world that could further shake the economy.“We expect thing to slowly turn around.Everyone has been scared, but now they are starting to spend money again. And the figures for travel and restaurant visits show that we haven’t exactly gone bankrupt,” believes Anders René Jensen from REMA 1000, and continues:“All the CSR initiatives that we’ve worked on over the years, including within organic products and the climate, aren’t wasted.Consumers want organic products, and we want them too.So when commodity prices start to fall again, prices will drop, and we’re ready to continue developing the organic market.”Falling prices and new awarenessFalling prices are essential in a time when consumers
are still very focused on the cost of food.The latest measurements from Statistics Denmark show that consumer confidence is slowly increasing, but it is still very low compared to how it has developed in recent decades.
“The price development will have an impact going forward.We need to see price reductions on organic products before we can reverse the trend,” explains Martin Hasgard Olesen of Netto.“With that being said, organic products are very important to us in Netto.We definitely intend to keep informing customers about the crucial role organic food will play in future.”However, both chains agree that the future will look quite different.Both chains agree on this.A global pandemic, war in Europe and high inflation set the stage for a new era in the market.“The organic assortment will continue to evolve but not at the same pace as we’ve seen thus far,” believes Martin Hasgard Olesen from Netto.And at REMA 1000, they believe that the crisis period points towards a new kind of consumer awareness.“We’ve been working with CSR for many years, and we’ve never seen anything that has created a shift in the right direction as effectively as this.I believe consumers will adopt a more sensible approach and think more about their consumption in future.This creates entirely new opportunities, including for organic food,” says Anders René Jensen.
DISCOUNT STORES accounted for more than 50% of retail sales of organic products in Q1 2023.
Source: Kauza’s household panel
What makes organic products indispensable to the consumer?This is the simple question that organic producers and companies should ask themselves during a crisis that has also affected consumption of organics.
We are waiting for everything to return to normal.We tell each other that it will pass and go back to how it was.But the fact is, nothing will be the same, and only one thing is certain: everything is changing, and we’re living in a new normal.“Right now, the most important thing for the organic sector is to remain relevant to the times.There are some virtues in organic production that certainly speak to a crisis period, such as focusing on food waste, reducing quantities and being mindful of consumption,” says Flemming Birch, an analyst and consumer expert at Birch & Birch.“But it also involves shifting more towards private labels when consumers move their organic consumption towards cheaper alternatives to branded products.”Even though consumer confidence is increasing in 2023 according toStatistics Denmark (in May it reached -15.1 compared to -18.3 in April, and when it hit its lowest point in December 2022, it was a meagre -28.9), consumers are still saving, at least when it comes to food.“It’s more difficult to map consumer behaviour in 2023.There are several factors at play, and some of them clash. The effects of the lockdowns, for example, mean that we want to travel now,” he explains.According to figures from Danske Bank, Danes spent 13 per cent more on travel in January 2023 than we did in the same period in 2019 before the COVID-19 crisis.“We definitely see some crisis-related behaviour in some areas, but not in travel.
This is where you’d normally cut back in a crisis, but because of corona, people are treating themselves
by traveling and cutting down in other areas such as food.”This means that consumers are now more mindful of their grocery shopping than before. They’re not shopping on autopilot, but think about whether each item that goes into the shopping cart is necessary.And most importantly, whether it’s worth the price.“In Denmark, we prefer to be relatively equal, so we all hold back when those with the lowest incomes are affected by the cost of living crisis.It’s just the decent thing to do,” says Flemming Birch.“More specifically, this means that as an organic company and producer, you need to have a relevant product or offer.You can’t sit back and wait for customers to return and do what they did before.”
BY FLEMMING BIRCH, BIRCH & BIRCH
In the first generation of plant alternatives to meat, the only important thing was that the product replaced something animal-based.In the second generation, consumers began to scrutinise the content of these substitutes:was it really necessary to use so many additives to make a plant-based burger?In the upcoming third generation, the focus is on taste.Now that we have substitutes that are becoming free of additives, they need to taste good, preferably better than the original.If the taste isn’t right, consumers won’t buy the product again. Veganising everyday cookingMany people have already tried making chili sin carne or vegetable lasagna for dinner.In supermarkets and in the convenience sector, ready-made plant alternatives to meat are taking up more and more space, and this trend is moving home in consumers' kitchens. Plenty of international food bloggers are ready with recipes on how to reinterpret traditional, meatbased dishes as vegetarian and compensate for the nutritional properties of meat.The everyday kitchen is also the canteens, which are already in full swing reducing the meat content of today’s warm dish.This will continue, partly because it pays off financially. Sustainable leadershipA quarter of Danes are unsure what the green choice is in everyday life.
At the same time, young people are willing to let rules and laws govern their food consumption in the name of the climate.This means that there is a demand for leadership when it comes to sustainability.The future green consumer will expect sustainability, and if the food industry cannot figure it out on their own, then fortunately we can legislate for it.Or create local regulations, such as having a weekly meat-free day in canteens.Local revivalTwo very different crises in quick succession have taught us that the globalised food system is vulnerable and that supply chains shouldn’t become too long.That is why we see a preference for domestic products across Europe. It is not just about the perception of quality, but about basic security in our lives.At the same time, awareness is growing of the less sustainable nature of shipping both food and animal feed across the globe.There is simply no excuse for not putting a Danish flag on the packaging in the coming years.Generation RegenerationRegenerative food
production is already a selling point in the gourmet world in the United States, and now it is moving into gastronomy in Europe.A major producer like Nestlé is now talking about “Generation Regeneration”, opening the door for regenerative practices to play a larger role in the industrial value chain as well.
The regenerative method becomes a way to make premium food products stand out.In the coming years, it will develop into a premium offer for sustainability-conscious foodies, a sort of superorganic option.Fresh and convenientConvenience is no longer just about sandwiches and takeaways.For many consumers, homemade meals are the ideal, but they lack the time and perhaps the skills to cook every meal from scratch.Therefore, we see dishes, solutions and products that aim to make it easy while still being delicious and of high quality.There is also a growing demand for healthier and more sustainable convenience options.As sales of meat decline, the price per kilogram needs to be increased by refining the ingredients.This is where the convenience market comes into play.Convenience is also a way to get Danes to eat more legumes, which they struggle to include in their diets.We won’t buy a bag of dried organic chickpeas,but are happy to buy a meal solution that tastes fantastic and happens to contain legumes.We will see much more of this in canteens and supermarkets.Additionally, if we remove the “vegan” label from the meal, we remove the last barrier to eating less meat.We don’t eat it because it contains plants but because it’s delicious. Healthy indulgenceIn the coming years, health will encompass joy and quality of life. It won’t have to be painful.Health should come easily, and we see it as far more than just exercise, training and specific dietary habits.Mental well-being is just as important as physical well-being.The modern concept of health includes tackling factors like loneliness, stress and bullying.Therefore, healthy foods should be considered within a broader context, where they are part of enjoyment, community and relaxation.This means healthier versions of foods associated with thee things, as well as visually appealing, delicious food that engages the senses.Healthiness is simply an added benefit.
The Danes are the consumers in the world who put the most organic products in their shopping carts.However, there are differences in organic consumption depending on the consumer’s age, household size, geographic location and whether there are children in the household or not. The figure below shows which demographic segments spend the largest share of their grocery budget on organic products.As seen in the figure, the 30-39-year-olds and the 60-75-year-olds have a relatively higher organic share, with indices of 111 and 104 respectively, compared to the
overall Danish population. Meanwhile, the organic share for the 18-29-year-olds stands at an index of 84 relative to the average Danish organic share.According to Kauza’s household panel, the average Dane’s organic share was 14 per cent in 2022.The figure also shows that households with four people, households in the capital area, households with children under eight years old, and single households – especially older single households – buy a relatively high share of organic products.
SHARE OF ORGANIC PRODUCTS IN FOOD BUDGET BY DEMOGRAPHIC SEGMENT 2022
AGE
18-29-year-olds
30-39-year-olds
40-59-year-olds
50-59-year-olds 60-75-year-olds
Source: Kauza’s household panel
Source: Kauza
According to data from Kauza’s household panel, each week in 2022 an average of 77 per cent of Danish consumers included organic products in their shopping carts.While a large number of Danes purchased organic products, there was significant variation in how much of their food budget they spent on organic products.The consumers who allocated more than 30 per cent of their food budget to organic products, here referred to as “Super Organics,” accounted for seven per cent of Danish consumers in 2022 and contributed to 29 per cent of the organic sales.The consumers who allocated 20-30 per cent of their food budget to organic products,
referred to here as “Heavy Organics,” comprised eight per cent of Danish consumers and contributed to 18 per cent of the organic sales.Together, Super and Heavy Organics constituted 15 per cent of Danish consumers and contributed to 47 per cent of the total organic sales in the grocery retail sector, making these two consumer groups very important in the organic market.Super and Heavy Organics are also attractive customer segments for the grocery retail sector, as they spend relatively more on groceries compared to the general Danish population, according to data from Kauza.
Make shopping easy and highlight the benefits of organic products directly to consumers.That is one of the recipes for increasing sales of organic products.Pelle Guldborg Hansen, a behavioural researcher at Roskilde University and research director at the independent research centre iNudgeyou, provides an insight into how consumers can be nudged towards choosing organic.
The experiment with pork, as seen in the image on the left, is just one example of how nudging can be used to increase sales while also informing consumers about the values of a product.Both aspects are essential in the battle for consumer attention, and not least in boosting the sales of organic food in the aftermath of a crisis.“For most consumers, organic food is a secondary preference and something abstract.And the secondary is the easiest to cut back on when you’re trimming your budget during a crisis,” explains Pelle Guldborg, a behavioural researcher at Roskilde University and research director at iNudgeyou Applied Behavioural Science Centre.“Most organic consumers will probably return bit by bit, but there’ll be a group that producers and retailers will have to fight harder for.These are the ones who, through their choice to opt out, discovered the freedom of just picking freely from the shelves without having to take a stance.”Easy to buy and understandWhen it comes to the dropout group – as well as a large portion of those who only buy organic products occasionally – the task is to make organic food both easy to buy and easy to understand.When everyday life is filled to the brim with tasks, decisions and information, the last thing you want is to work overtime in the fruit and veg section.“This makes convenience necessary, but it also requires a simple explanation of why you should buy organic and pay more for it,” he says.And this is where nudging can do something that large-scale campaigns can’t.“Campaigns may change attitudes, but they don’t create actions.Nudging takes place where the consumer has to make a choice, and the important task is to connect the product to the consumer’s behaviour.”Shift focus from priceSo let’s go back to the supermarket around 5 pm on a weekday, when things have to go quickly because your customer has to prepare dinner, help their child with their homework and answer a couple of emails.
Something healthy needs to be put on the table – but
what?In an experiment conducted by Føtex, they displayed three green ingredients under a large sign saying that these three ingredients would make a delicious salad.Just as in the pork experiment, the sales of each three items significantly increased compared to the sales in control stores.The magic of the experiment and the behaviour it created lay in the fact that it tapped directly into the customers’ needs.“The organic producers and businesses need to collaborate with retailers to figure out what specific products can be used for and then show them to the consumers.If they succeed, the price will become less important to the consumers,” says Pelle Guldborg.Show how organic products stand outThe complex messages of organic products can be made simpler to decipher and, similar to the pork experiment, made more concrete and tangible.This can be done, for example, by highlighting the absence of pesticides in lemons at eye level, where the customer is already filling their basket.“With organic products, it needs to be shown more clearly where they stand out from conventional ones.However, consumers can’t relate to a load of parameters.Keep it simple, otherwise, the price will always win,” he says.This can be particularly relevant for high-end organic products in a time when organics are being purchased in discount stores and private labels are gaining more ground.“One could start talking about quality instead of quantity.Explain what it means for the consumer to buy high-quality food with a rich taste, free from pesticides, and how animal welfare is a form of quality, thereby connecting organic production with quality.And connecting it to action,” he believes.“Organic products are still a status marker with an inherent moral aspect – at least for some consumers.That moral aspect means you’re willing to pay an extra cost for the benefit of the rest of society.But in recent years, competition has arisen in the ‘moral products’ market, so we have to define more clearly where organics fit into that market.”
The self-promoters
11% of Danes
71% men 18-39 years old large cities middle income
Consumers now more than ever expect companies to take responsibility for the green transition.This places demands on companies’ behaviour and transparency about how their products are produced.A study conducted by the communications and marketing agency Dentsu focuses on the modern, green consumer.
Just a few years ago, consumers believed that they themselves had a big responsibility to contribute to a sustainable society.However, the results of the consumer survey “The Green Consumers,” conducted by Dentsu in 2022, challenge that perception.The survey reveals that 78 per cent of respondents believe that companies bear the responsibility, surpassed only by 80 per cent pointing to the government and state.“There’s been a significant shift in consumers’ perception of who holds the responsibility. Only 66 per cent believe they themselves are responsible for sustainability.This places greater demands on companies’ behaviour, but also on their communication and transparency,” says Anne K. Devantier, Executive Director of Insight and Strategy at Dentsu.These demands are further intensified as the survey also shows that only 47 per cent believe that companies actually live up to this responsibility.“It reflects the fact that communication from companies to consumers is not clear.They want specific guidance and knowledge about how their choices contribute positively to sustainability,” she adds.Confused consumersIn addition, the survey respondents highlight the importance of the sustainable choice being physically accessible, easy and convenient,
associated with something pleasant and enjoyable, and providing benefits such as time, money and prestige. But ultimately, the choice is driven by a sense of ethical or moral responsibility.“Many people actually want to do something, but they don’t know what to do, what makes a difference, and how.That’s what companies need to become much better at communicating,” explains Anne K. Devantier. She emphasises that consumers do not expect the product or company to be perfect, but they are able to see through deception.“It’s simply about telling people what you’re doing – even if it’s not a solution to the entire problem.Be transparent and stand by your actions.If you wait till you’re perfect, it’ll be too late.”Danes have different motivations for buying sustainable products. The most important ones are about making a difference for the future of children and grandchildren (78 per cent) and doing something good for society (67 per cent).In fact, 73 per cent state that their sustainable efforts are aimed at supporting Danish and local businesses.“This is a general trend across the target groups in the survey, where Danish and local ingredients are very important to the respondents, mainly because that’s an easy to understand narrative when it comes to sustainability,” she concludes.
• 18% of Danes
• 55% women
• 50-60+ years old
• large cities
• high income
• 21% of Danes
• 56% women
• 60+ years old
• the whole country
The worried
• 21% of Danes
• 64% women
• 30-49 years old
• small towns
• medium to high income
Based on the survey “The Green Consumers”, which involved a quantitative questionnaire with 3,000 participants, as well as interviews and statistical data, Dentsu classifies the respondents into four distinct target groups.
Anne K. Devantier from Dentsu provides her insights into the challenges that organic food faces in relation to environmentally conscious consumers, as defined by the survey’s target groups.“The pragmatic consumers focus a lot on price.They might not see what the point is in buying organic products.To reach this group, you have to show that there are savings to be made elsewhere.They want quality ingredients at a good price, while also valuing the nostalgic aspect, Danish ingredients, and the farm-to-table concept.”“The activists question everything.They may have doubts about the sustainability of organic products and whether choosing organic is the right way to fight for a more sustainable world.
One of the target groups we’ve been most surprised to find is “the self-promoting consumers”.We haven’t seen them before.Anne K.
evantierExecutive Director, Strategy and Insight, Dentsu
They want to be informed based on reliable evidence, and when they start basing their choices on the new climate label, it will present a big issue when it comes to promoting organic products.”“The self-promoting consumers are one of the target groups that have surprised us the most.We haven’t seen them before, but they actually buy into organics if there’s some form of personal branding involved.They make purchases to be recognised and receive attention for their choice of products.”“The worried segment can be reached by communicating the role of organic products in personal and family health.It’s a target group that’s generally very doubtful and needs to be guided in their choices.”
AI-generated illustration: Eva Krebs Larsen
In 2023, the Danish Consumer Ombudsman has increased its focus on companies’ green branding and the phenomenon of greenwashing. Here are some tips on how to avoid breaking the rules when marketing, while still being able to promote your product.
Climate-friendly, sustainable and environmentally sound are just some of the product descriptions currently being scrutinised by the Danish Consumer Ombudsman.It is a sign of the times that companies are using these superlatives to make their products appealing to the growing number of consumers who consider the climate and sustainability when making purchases.“Many companies are surprised by how strict the regulations in the Marketing Act are in this area.After all, they’re just doing what they see other companies doing,” says Dan Dahl Rahimian, a lawyer specialising in marketing law at Advokatgruppen.However, imitating competitors can become costly if it means violating the law.
Not only are fines issued, but it can be worse
if the press catches wind of a company embellishing its green credentials, since the decisions of the Danish Consumer Ombudsman are published as press releases.“The brand impact can have far more serious consequences,” he says.Distinguishing between general and specific statementsBut what are the actual rules?And how can a company avoid being overrun by those who can strike a balance between greenwashing and greenhushing?“First and foremost, you need to zoom out from your own product, look at what you’re doing beyond what’s required and at what others in the industry are doing.
Because you don’t want to avoid talking about the good things you’re doing, either.In the end, that can mean loss of sales,” says Dan Dahl Ra-
is a term used to describe companies’ behaviour when they fail to report green initiatives because they fear or do not have the resources to counter public criticism.
himian.The rules distinguish between general and specific statements about a product.A general statement, for example, is to describe your company or product as climate-friendly or sustainable.“I strongly recommend never calling your product sustainable.The Danish Consumer Ombudsman has made it clear that she believes nothing can be sustainable since everything leaves an impact.If you still have the courage to do so, the general statements require you to present a lifecycle analysis conducted by independent experts,” explains Dan Dahl Rahimian.It is much easier and safer to brand your products using specific statements.This could include talking about the packaging material, recycling efforts, or using a certain percentage of recycled materials in the production.“Specific statements must, of course, be substantiated, but not to the extent required for general statements.They are usually easier to document and therefore easier to communicate clearly to consumers,” he says. Stick to the factsThe rules in this area also apply if you promote aspects that are the norm for the product, for example aspects that are regulated
by law in the industry.But where does this rule leave an event like Organic Day, where the emphasis is on organic cows being let out into fresh air?A practice regulated by law.
“Not all cows are let outside.So highlighting the fact that organic cows are let out is okay because it’s contrasting it to the common practice in conventional production,” explains Dan Dahl Rahimian.However, one shouldn’t highlight and market aspects that go beyond, for example, the red organic label or the EU organic label.The Ombudsman’s website gives an example where a company marketed bananas as follows: “Buy XX-labelled bananas and eat bananas with a clear conscience.”The website says that this model is not acceptable, referring to the fact that marketing should not be exaggerated, and aspects beyond the scope of the labelling scheme should not be highlighted.“If, as a producer, you do something beyond what the labelling scheme requires, it’s certainly worth highlighting.But again, it’s best to communicate specific initiatives rather than general ones,” he says.The Marketing Act can be a tough nut to crack, and the increased focus on greenwashing places demands on companies’ product branding.However, this should not discourage companies from marketing themselves, especially in a time when the values, methods and messages around organic products are important to green consumers.The Ombudsman has released a brief guide that can be downloaded here:forbrugerombudsmanden.dk/longreads/kvikguide-til-virksomheder-om-miljomarkedsforing
In 2023, the Danish Consumer Ombudsman has a special focus on greenwashing, and in the Finance Act of 2021,DKK 28 millionwas allocated to the institution’s work in this area for a period of four years.
A state-controlled climate label should be applicable to all foods and should be based on a scale model across all food groups. These are some of the recommendations that the climate label working group presented to the Minister for Food, Agriculture and Fisheries, Jacob Jensen, at the end of April 2023.
This means that a climate label for food has moved one step closer to the shopping basket. The working group specifically proposes that the scale model be developed with five levels, where the use of colours (from green to red) and letters (from A to E) should be prominent to aid consumer understanding.The model should rank products relative to each other across food categories.
For example, beef can be compared to lentils, where beef would likely end up on the heavier, red end, while lentils would be in the green.“There’s a widespread desire among consumers to eat in a more climate-conscious way, but it can be hard to decipher the climate footprint of different products when shopping.That’s why we decided, as one of the first countries in the world, to introduce a statecontrolled climate label that will help consumers make more climate-conscious choices when they shop for food,” said Jacob Jensen in a press release issued in connection with the presentation of the recommendations.The working group, which was established in the spring of 2022, also discussed other models, including a ‘best in class’ model, where foods within the same category, such as beef, were ranked relative to each other.This would mean that a type of beef produced in a more climatefriendly way than another could receive a better ranking. One disadvantage of this model is that
food products with relatively low carbon footprints can receive a red label.This would be the case, for example, if a category like ‘fruits and vegetables’, which generally consists of low carbon footprint foods, is divided into multiple levels on the scale.In this case, some foods would necessarily be placed in the red end of the scale, making them appear to have a higher carbon footprint than foods from another category where the actual carbon footprints of the products are larger.
Conversely, foods with high carbon footprints could be highlighted positively if they are among the foods with the smallest footprints in their own category. The decision to recommend the scale model is based on an online survey where 1,357 participants shopped in an online supermarket specifically designed for the study, with different foods labelled either with the ‘best in class’ label or the scale label. These purchases were tested against a control group that shopped in the same online supermarket but with no climate labels on the foods.91 per cent of the participants stated that they found the scale label to be the one that provided the best guidance. Regarding the data behind the carbon footprint, the group recommends that the label is based on either generic carbon footprints or product-specific footprints, where a calculation of the specific product has been made.
Illustration: Danish Veterinary and Food Administration
Organic Denmark has been part of the working group that has prepared the recommendations for a future voluntary climate label. It has been important for the association that there is also a focus on other important parameters beyond the climate.
HEAD OF AGRICULTURAL AND FOOD POLICY AT ORGANIC DENMARK
Organic Denmark’s head of agricultural and food policy, Sybille Kyed, says:
Organic Denmark believes that we need a transition to sustainable food production.This means not only considering the climate but also biodiversity, animal welfare, clean drinking water and water environments, which is exactly what we do in organic farming.Therefore, we have worked to ensure that this point is included in the recommendations of the working group for the climate label.We have succeeded in doing so, for example,
in the working group’s recommendation that at the first evaluation of the climate label, it should also be assessed whether it is possible to add more environmental parameters. We are pleased that a research project on this topic has been initiated at Aarhus University.We also appreciate that the communication efforts regarding the climate label will focus on the fact that a singular focus on climate does not guarantee sustainability, and that the communication should make consumers aware that the label does not replace but complements other labels such as the organic label and the keyhole label.
3466
739
1427
1300
Source: Danish Veterinary and Food Administration, 31 May 2023
There is cause for optimism when it comes to the sales of organic products in the foodservice industry. Everything indicates a growth of around five per cent for 2022.This is due in part to the fact that COVID-19 is behind us, and also because more professional kitchens are recognising that organic products and the Organic Cuisine Label can contribute to a green transition.
BY TORBEN BLOK MARKET DIRECTOR OF FOODSERVICE OF ORGANIC DENMARK
In 2021, there was quiet optimism for growth in the organic segment in the foodservice industry.Sales increased from DKK 2.0 billion in 2020 to DKK 2.1 billion in 2021, clearly indicating that the years of lockdown during the COVID-19 pandemic still had an impact on the foodservice industry.However, in 2022 and 2023, growth is expected because the COVID-19 restrictions are thing of the past and because the green transition is gaining momentum in the foodservice industry.The entire industry is much more optimistic and dares to set goals for the future once again. For organic products, this means maintaining a presence in all channels, and we can expect sales in 2023 that are almost back to the 2019 level, with a growth of around 5 per cent in 2022 and 2023.The growth in 2021 also resulted in the organic market share in the foodservice industry reaching 12.6 per cent, which is the same level as the organic market share in retail.The fact that organics in foodservice are growing indicates a tremendous potential for producers and food companies seeking new market opportunities.
Despite inflation affecting the foodservice industry as well, there is an opportunity to increase the sales of organic products.The number of Organic Cuisine Labels has maintained its level throughout the COVID-19 crisis, and more institutions and companies are aligning with climate goals and the green agenda.
Additionally, we are currently seeing a growing interest
in organic conversion from hotels, large canteen chains and municipalities.They are finding that conversion contributes to their overall strategies for green transition and works well with other initiatives and sustainability labelling schemes such as the one implemented by Horesta.
The entire industry is far more optimistic and dares to start setting goals for the future again.
TORBEN BLOK
The organic sales to the foodservice sector are reported every year in August.In August 2022, the report from Statistics Denmark, based on 2021 data, showed that organic products have a strong presence in the foodservice sector, particularly in the categories of grocery and dairy/eggs. It is mainly the public institutions that are leading the way in the organic transition.The municipalities have been working on organic conversion for many years, and this development will continue in the coming years, with government funds allocated for organic conversion.We also look forward to seeing more private players stepping up and recognising the value of using the Organic Cuisine Label to work strategically and sustainably with meals and food procurement.
The figure below shows that sales of organic food in the foodservice sector increased from 2013 to 2020, and from 2014 to 2019 sales almost doubled. In 2020, this uninterrupted growth was broken by a drastic drop in sales due to COVID-19 lockdowns. In 2021, sales got back on the growth track, and Organic Denmark estimates that organic sales in foodservice also increased in 2022 by approximately five per cent, so that revenue reached just over DKK 2.2 billion. The same growth rate is expected in
2023, bringing revenue to DKK 2.3 billion, which is almost back to the level in 2019.
According to Statistics Denmark, the organic market share was 12.6 per cent in 2021.Organic Denmark estimates that the organic market share in 2022 will be around 12.7 per cent, which is the same as the organic market share in the retail sector.
The figure below shows that public sector kitchens (in hospitals, childcare centres, institutions, etc.) account for 41 per cent of organic foodservice turnover. The public sector kitchens have helped pave the way for the transition to organic produce in professional kitchens, and are still driving the organic transformation in foodservice. However, restaurants, cafes and hotels are also showing increasing potential in transitioning to organic produce. This channel is therefore expected to grow in the coming years.
The figure on the right below shows that in 2021, 36 per cent of organic sales in the foodservice sector came from the sale of grocery products, 31 per cent from dairy products and eggs, and 18 per cent from fresh fruits and vegetables.This distribution differs from the retail market, where fresh fruits and vegetables accounted for 37 per cent of sales in 2022, dairy products for 21 per cent and grocery products for only 10 per cent.
Source: Statistics Denmark
In 2021, Danish organic exports increased by 17 per cent compared to 2020.However, there is no doubt that both 2022 and 2023 will bring more turbulence in the international markets due to inflation, the energy crisis and the war in Ukraine.
BY DENNIS HVAM INTERNATIONAL MARKET DIRECTOR OF ORGANIC DENMARK
It was hard to contain the excitement when Statistics Denmark released the numbers for the 2021 Danish organic exports in December 2022.A 17 per cent increase compared to 2020 was an impressive result, especially considering the challenges posed by the COVID-19 pandemic, lockdowns and limited opportunities for international business meetings.The total organic sales reached DKK 3.3 billion in exports, compared to DKK 2.8 billion in 2020 and DKK 3 billion in 2019. Danish organic exports continued their growth trajectory, although it is unlikely that we will see equally high growth rates when the numbers for 2022 are ready.Danish companies excel at getting their products out into the market, but it is challenging to navigate and remain unaffected by a market characterised by uncertainty and turbulence.
While international consumers increasingly want to make a difference through their food purchases, inflation, energy crisis and the war in Europe have caused a slowdown in Western markets. This is particularly evident in Germany, the largest market for Danish organic products, accounting for 33 per cent of the export growth in 2021.Towards the end of 2022, experts in Germany reported a contraction in the country’s economy, with a 0.2 per cent decline in gross domestic product. The expectation is that Germany is heading towards a technical recession when the first quarter of 2023 is assessed. When our largest market is struggling, Dan-
ish companies undoubtedly feel the impact.However, we take note of the experts’ predictions that economic growth in Germany will gradually recover towards the end of 2023.We have witnessed downturns before and experienced financial crises that have taught us the importance of persisting and emphasising the unique qualities of Danish organic products in international markets.Danish companies are known for their innovation, reliable delivery and food safety standards.
Danish companies are known for their innovation, reliable delivery and food safety standards.
DENNIS HVAM
One of the big surprises in the statistics from 2021 was the 38 per cent increase in exports to the Netherlands, which is itself one of the world’s leading exporters of agricultural goods.
This is, among other things, the result of the initiative we started together with Danish organic companies back in 2016.It shows that Denmark has potential even in countries that are already strong in the food industry. It also shows that building a solid export market takes time and years of dedication.So, despite crises, it is crucial to continue the export work.
After a decline of eight per cent in organic exports in 2020, the export grew by 17 per cent in 2021 to a value of DKK 3.3 billion. Organic Denmark expects that the export of organic goods will increase by five per cent in 2022 and further by 10 per cent in 2023, reaching a value of DKK 3.77 billion.The growth in 2021 was primarily driven by sales to Germany, particularly of meat, while sales to Asia continued to decline, partly due to the impact of COVID-19.The value of organic meat and meat product
exports increased by 43 per cent from DKK 366 million in 2020 to DKK 525 million in 2021, accounting for one third of the total export growth.The export of other food products (such as baby formula) rose by 32 per cent from DKK 318 million in 2020 to DKK 412 million in 2021.
Dairy products and eggs increased by six per cent and remain the largest commodity group in exports of organic products with DKK 1.1 billion in 2021.
50 per cent of Danish exports went to Germany in 2021, making our southern neighbour Denmark’s largest export market for organic food. Organic exports to Germany actually grew by DKK 400 million in 2021. After Germany, Sweden accounted for 12 per cent of exports, followed by the Netherlands with seven per cent, and China with four per cent.
Overall, dairy products were the largest organic export category, accounting for 32 per cent in 2021.It was followed by meat and meat products, which accounted for 16 per cent, and fruits and vegetables, which constituted 13 per cent of the total organic exports.
Source: Statistics Denmark
The import of organic food increased by 3 per cent from DKK 4.9 billion in 2020 to DKK 5.0 billion in 2021.The slowdown of the high growth rates from before the COVID-19 pandemic continued in 2021.Analysts also expect growth in the import of organic food in 2022, as Danish consumers’ increased focus on price has contributed to higher demand for cheaper organic foreign varieties.The growth in the import of organic food in 2021 is primarily due to an increase in imports from Spain and Italy.It is especially fruits and vegetables that are imported from these two countries, but the increase also includes animal feed.
Imports from North and South America also increased in 2021.From this continent, product categories such as coffee, tea, cocoa, chocolate, spices, beverages, as well as sugar, sugar products and honey dominate.In contrast to these categories, which contributed to an increase in imports, the import of organic dairy products, eggs and beverages decreased.Organic products accounted for 5.2 per cent of the value of the total import of food, beverages and feed in 2021, which is an increase from 5.0 per cent in 2020.
Source: Statistics Denmark
The largest organic import category is fruits and vegetables, which accounted for 46% of the total organic imports in 2021. The countries from which Denmark imports the most organic goods are Germany, accounting for 18 per cent of the total imports, as well as Spain, the Netherlands and Italy, each accounting for 15 per cent of the value of the organic food and feed Denmark imported in 2021. There are several reasons why organic food is imported to Denmark.Firstly, we import food that we cannot efficiently
cultivate ourselves, such as bananas, citrus fruits, coffee, tea, rice and soybeans.Secondly, we import goods where we face particular competition, such as groat oats, bread grains, protein-rich feed, fruits, vegetables, etc. Thirdly, we import goods that we cannot supply ourselves out of season, such as fruits and vegetables.Finally, we import goods during periods of insufficient Danish production, as has been experienced with fruits, vegetables, grains and grain products.
ORGANIC IMPORTS BY COUNTRY – 2021
ORGANIC IMPORTS BY PRODUCT GROUP – 2021
The organic agricultural area in Denmark has more than doubled in the past 15 years.In 2007, the organic agricultural area was 150,207 hectares.By 2022, that number had increased to 310,001 hectares out of the nearly 2.7 million hectares of agricultural land in Denmark.Thus, in 2022, organic farming accounted for 11.7 per cent of the total agricultural area in Denmark.From 2021 to 2022, the organic area experienced a slight decrease.It is the first time since 2014 that the organic area has decreased compared to the previous year.Some contributing factors to the decline could be the increasing costs of feed and energy due to the COVID-19 pandemic and the unstable global situation, which created market uncertainty.
For several production categories, the difference between organic and conventional transfer prices has also narrowed, thus reducing the financial incentive to switch to organic production in the short term.It is expected that the organic area will also decrease slightly to 300,000 hectares in 2023.The number of organic farms has also decreased from 2021 to 2022.In 2021, there were 4,151 organic farms, while in 2022, there were 4,095 organic farms.Although not a significant decline, it is the first decrease since 2014.One of the reasons could be the high turnover in the agricultural property market, with some organic farms being taken over by conventional farmers and operated under conventional conditions.
Hectares
In 2022, by far the largest organic area was used for dairy production, totalling 107,351 hectares, equivalent to 35 per cent of the total organic production area in Denmark.The area was distributed among 376 organic dairy farmers, which was 15 fewer than in 2021.Meanwhile, the number of organic dairy cows decreased from 81,623 to 80,194.A total of 91,711 hectares were cultivated with organic grains in 2022.Grains thus account for 31 per cent of the total organic area.The area with organic feed grains decreased by 2 per cent, while the area with consumption grains decreased by a significant 24 per cent from 2021 to 2022.The area with organic legumes decreased by 2 per cent after a significant increase of 36 per cent in 2021, primarily driven by a desire to increase self-sufficiency in protein for livestock and reduce the import of foreign soy.In 2022, 7,039 hectares were cultivated with organic vegetables and root crops.
A wide range of common vegetables and root crops are extensively grown organically. More than half of the cultivated area including kale, parsnips, red pars-
ley, beetroot, Jerusalem artichoke, rhubarb, tomato and cucumber was organic in 2022.From 2015 to 2022, the organic area for crops such as organic carrots has increased by 66 per cent, with 57.7 per cent of the cultivated area for carrots being organic in 2022.However, the total organic area for vegetables decreased by 691 hectares or 9 per cent from 2021 to 2022.The organic areas for fruits, berries and nuts were relatively small in 2022, totalling 1,806 hectares. However, they represented a significant share of the total production area for specific crops.For example, 39 per cent of the Danish apple growing area was organic in 2022.The total area for organic fruits, berries, and nuts increased by 10 per cent from 2021 to 2022.The number of organic pigs raised for slaughter and organic laying hens decreased by two per cent and four per cent respectively. The decline was primarily due to a declining demand from consumers who faced financial pressures in 2022 due to inflation and rising prices.However, the number of organic chickens raised for slaughter increased by a substantial 38 per cent, despite a decrease in retail sales.
Feed grain (90,034 hectares in 2022)
Silage (1,677 hectares in 2022)
Legumes (19,574 hectares in 2022)
Vegetables, root vegetables, etc. (7,039 hectares in 2022)
Fruit, berries and nuts ( 1,806 hectares in 2022)
Pigs for slaughtering 35-105 kg (210,810 in 2022)
Dairy cows (80,194 in 2022)
Hens, eggs (1,115,606 in 2022)
Chickens for slaughtering (2,2291,420 in 2022)
Source: Danish Agricultural Agency, statistics for organic farms 2022
Find the digital version of the Organic Market Report 2023 and other reports by Organic Denmark here:
Organic Market Report 2023: okologi.dk/viden-om-oekologi/salg-og-forbrug/
Organic Denmark’s other reports: okologi.dk/viden-om-oekologi/produktion-og-afsaetning/
You can also explore the statistics bank at Statistics Denmark, where you can find figures on:
Retail Statistikbanken.dk/oeko3
Import/Export
Product Groups: Statistikbanken.dk/oeko4
GEOGRAPHY: Statistikbanken.dk/oeko55
Geography and product groups: Statistikbanken.dk/oeko66
Foodservice
Product Groups, 2013-2020: Statistikbanken.dk/oeko7
Conv./eco, product groups, 2021: Statistikbanken.dk/oeko77
Customer groups, 2013-20: Statistikbanken.dk/oeko8
Conv./eco, customer groups, 2017-21: Statistikbanken.dk/oeko88
The organic area
The organic area (crop 1995-2016): Statistikbanken.dk/oeko1
The organic area (status, crop 2012-22): Statistikbanken.dk/oeko11
Organic animals Organic animals: Statistikbanken.dk/oeko2
Production: Statistics on organic farms 2022 lbst.dk
You are always welcome to contact Organic Denmark’s Market Department if you have any questions about organic market trends or this market report.
Contact information Marketing Department okologi.dk/om-os/kontakt
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