Organics were in the spotlight at the Bio-logical! Europe goes Organic round table at Fruit Logistica on Saturday.

Amarjit Sahota at UK-based research body Organic Monitor said the organic market now closely resembles the conventional market in the UK.

He said: “There is now no difference between the sectors, the same companies are involved in the market, and the competitive stakes are rising.”

The price premium has dropped to 30-40 per cent from 100 per cent in the last five years, he added.

Sainsbury’s category manager Jat Sahota (no relation) said the organic offer now plays just one part in a mix of related concepts, including local sourcing, seasonality, Fairtrade and sustainable packaging.

He said: “UK consumers say they want organic, but they also want their produce to be locally grown, seasonal, Fairtrade, or in sustainable packaging.”

But this is contrary to their actions in store, he added.

He said: “They still want to buy all fruit and vegetables 52 weeks a year, and some of their understanding about sustainability is quite unclear.

“Is an organic product that is airfreighted better than a conventional product that is local? Fairtrade roses airfreighted from Kenya make less impact on the environment that those grown locally under glass in the UK. These are emerging complex issues in the UK.”

Sainsbury’s is aiming to reduce the price of organics in line with conventional products and display them together, Jat Sahota told delgates.

He added: “This will mean price pressures in the supply chain, but it means more access to the market and more volume. You will receive less for each product, but you will sell more. You will tip into mass market/low price, but, overall, more profit.”

But it is important to protect the integrity of organic products because the outlook for the market is undersupply, said Amarjit Sahota.

He said: “There is a risk of scandals in the next two or three years because there’s a great demand that cannot be satisfied so the risk of illegal business is quite high.

“But if there are food scandals, such as conventional products found to be sold as organic, demand could move away from organic,” he added.

Jat Sahota said sustainability is at the forefront in the minds of UK consumers this year.

He said: “Sainsbury’s has made a commitment to Fairtrade bananas, which shows that if you have to import a product, you can still make a difference with a sustainable policy and Fairtrade is a very good way of doing that.

“We are about to see the entry of Whole Foods in the UK this month, which will be interesting.”

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