The Jamie Oliver effect has had more impact on consumption of fruit and vegetables in the last 12 months than any other factor, according to the fresh produce industry.
More than half of the participants in the industry survey, which forms the basis of next week’s Re:fresh Conference - Your Shout, said that the Naked Chef’s high profile initiatives to improve the nutritional content of the nation’s school dinners were a key driver behind the recent rise in consumption figures.
Consumption of fruit, salads and vegetables is predicted to increase again over the next 12 months. However, long-term expansion of sales and in the percentage of British consumers who eat their recommended five portions of fruit and vegetables each day will only be achieved through the greater availability of prepared and semi-prepared options alongside the traditional fresh and healthy offer, the survey report reveals.
As highlighted in Fresh Thinking - Insights into the Present and Future State of the UK Fresh Produce Industry, some 86 per cent of respondents predict either higher (60 per cent) or similar (26 per cent) volumes of fresh produce will be sold in the next 12 months. As well as riding on the Jamie Oliver wave, the industry has been buoyed by the government’s healthy eating and anti-obesity agendas and a general rise in consumer awareness of the importance of fruit and vegetables to a healthy diet.
The next five years are expected to deliver improvements in the value of the business thanks to greater consumption of fruit (predicted by 48 per cent of respondents) salads (27 per cent) and vegetables (26 per cent). But in particular, greater value is predicted to stem from a rise in the amounts of prepared (41 per cent) and semi-prepared produce (22 per cent), which is sliced and diced, bagged and punnetted and divided into portion sizes that better suits the demands of the 21st century British consumer.
The trend towards buying home-grown produce also shines through. Operators predict they will be able to increase the value of their businesses by focusing on selling more local (21 per cent) or British produce (13 per cent); with investment in organics (tipped by 26 per cent) and Fairtrade (11 per cent) also likely to make a difference.
Almost nine out of every 10 businesses within the UK fresh produce industry expect the volume and value of their business to increase over the next 12 months, with growth levels predicted at just over 8.5 per cent across the industry for the year. However, given that much of the growth is expected in prepared and semi-prepared options, the fact that less than a quarter (23 per cent) of businesses are planning to make any significant capital expenditure raises a question as to whether the industry is committed to stump up the investment to unlocking the future economic value.
“With the nation on a health drive, opportunities for the fresh produce industry are enormous. However, on a cautionary note, the industry needs to do more to drive sales and stop relying on either the government or celebrities to drum up business for it. Despite the huge advertising budgets of its confectionery competitors, the industry needs to engage more in influencing a consumer-driven industry and make long-term investments in order to capitalise on prepared and semi-prepared opportunities,” said Duncan Swift, head of Grant Thornton’s Food & Agribusiness team.
To attend Re:fresh 2006, at the London Marriott in Grosvenor Square on May 11 and get a free copy of the report, go to www.refresh.eu/conference or call Claire Martin on 01322 660070.
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