Organic and Ethnic and Fair Trade Foods

[ImageInfoWidget attached_image=”14076″]Canada is the 6th largest organic market globally, with North America (United States and Canada) accounting for 52% of the sales of organic foods globally. In 2018, Canadian retail sales of organic products reached CAD $4.94 billion. The organic sector increased its market share of 1.7% in 2012 to 3.2% in 2018. This growth is experienced across the industry, including grocery market sales, foodservice sales, value-added goods manufacturing, and primary production acreage. This Market Information Paper shows that imports of organic, ethnic and Fairtrade foods reached a total of CAD$1.9 in 2018, with growing opportunities for businesses to enter and expand their supplies within this niche market.[/ImageInfoWidget][ImageInfoWidget background_colour=”#eeeeee” is_reversed=”true” attached_image=”19984″]The demand for foods within this sector is tied to Canada’s growing immigration numbers, ethnically diverse population and increased consciousness among consumers regarding the health benefits of organic foods. While all industries are being cautious on account of the COVID-19 pandemic, the organic sector appears to be steady and growing, with grocery sales amounting to CAD$6.9 billion with a retained market share of 3.2% in 2020.

Consumers purchase the food in this sector through mainstream retailers like Wal-Mart, Loblaws and Metro; in large ethnic supermarkets like T& T; from natural food stores; from direct farmer channels; drug stores, and online purchases. Most supermarkets now have aisles and sections dedicated to organic, ethnic, and international foods making access and shopping easy for consumers.[/ImageInfoWidget][ImageInfoWidget attached_image=”19987″]We were able to use available statistical information to decipher the most imported certified organic products into Canada (coffee, bananas, strawberries and olive oil) and where they came from (e.g., U.S., Mexico and Peru). Also, we looked at where opportunities lie for new products and which countries are expanding their exports the most. For example, in the ethnic food category, supplies from India, Thailand, Vietnam, among other Asian countries, are steadily increasing with opportunities to supply products such for sauces and preparations, semi wholly milled rice and frozen shrimp or prawns.

Suppliers should carefully research the market entry requirements in this sector to ensure they meet the certification, packaging and labelling standards that govern organic products. Most of the foods in this sector come in through the same distributions channels as regular food.[/ImageInfoWidget]