€10.4 Million Secured to Promote Organic Sector

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The UK organic market is currently worth £1.4 billion and has shown huge growth of around 5.6% in 2016, when in compared to non-organic which grew by only 0.6% over 2016. However, the UK is still far behind other European markets, when compared to Denmark’s growth of 18% in the second half of 2016. European average yearly growth for the organic sector is around 9%.

EU funding secured by the Organic Trade Board (OTB), in partnership with Organic Denmark, will thereby be welcomed by the UK to promote organic food and drink in the UK and Denmark, the total fund amounting to €10.4 million over three years, with 70% of this being spent in the UK. The bid by the OTB was successful as the campaign will focus on growing retail sales, increasing employment in the organic sector, and raising awareness of the benefits on organic food and drink.

NFU Organic Forum Chairman Tom Rigby said:

“This news is a positive step forward for the organic industry, as well as organic agriculture.  In light of Brexit, all farmers, both organic and conventional are no doubt concerned about the future, but with 70% of the funding going to the UK aiming to grow retail sales, increasing employment in organic agriculture and raising awareness, this is an exciting opportunity for both the domestic and export markets.  Teaming up with Denmark who have become world leaders in organic sales, will no doubt inspire the UK to drive the organic market and increase consumption of organic food.”

The campaign has been match funded by 60 OTB member companies, accounting for 70% of the UK Organic market, including Tesco, Sainsbury’s, OMSCo, Rachel’s and other major organic food brands.

Soil Association Business Development Director, Clare McDermott, said:

“We know investment lifts the market – just this year Organic September helped sales reach and maintain 6% year on year growth. Building on this and existing work from the OTB, the Soil Association and the wider organic industry, we can now further improve awareness of organic. The next three years will be an exciting time for the sector.”