New USDA report suggests decreased inflation has also contributed to an improvement in sales of organic produce
Sales of organic fruit and vegetables in Germany are expected to have grown in 2024, a sign of continued recovery in the market following a decline in sales during the previous two years.
According to a new USDA report, lower levels of inflation and increased availability – especially in low-cost retail stores – have contributed to the improvement.
“Organic-only retailers are no longer the primary distribution channel, with most sales generated by full-range retailers – organic and non-organic supermarkets – such as Edeka and Rewe,” the report explained.
“Discount supermarkets, such as Lidl or Aldi, and drug stores also played a large role in sales because German consumers were still wary of spending following years of very high inflation.”
Although sales increased in 2023, the number of organic farms in Germany decreased for the first time in 30 years. Organic exports from the United States continue to be volatile.
According to Ifoam, Germany is the world’s second-largest market for organic products after the US, and the largest for organic products in Europe.
In 2022, the US, Germany, and the Netherlands comprised almost 74 per cent of organic imports world-wide, although much of the volume shipped to the latter was re-exported.