European Food Industry Initiatives Reducing Pesticide USE

Private labels for premium products – the example of organic food

“…The origin of the European organic movement dates back more than 50 years. However, it was only in the 1970s that nature food stores expanded to commercial significance Comber (1998) cited in Van der Grijp and den Hond (1999). Since the late 1990s, organic food is increasingly achieving mainstream status, especially in western and northern‐European countries.…”

“…Responding to this shift in consumer demand, supermarkets and food multinationals are becoming increasing involved in the marketing of organic products. Focusing on a new segment of organic consumers, their growth rates in sales of organic products exceed those of traditional players such as nature food stores who remain focused on the traditional segment of organic food shoppers (Van der Grijp and den Hond, 1999).…”

“…Today, over 50 per cent of organic products are sold by general food retailing in several European countries, such as Austria, Belgium, Denmark, Finland, Sweden, Switzerland, and the UK. In Germany, Italy and the Netherlands, however, nature food stores still have a dominating position (Comber (1998) cited in Van der Grijp and den Hond (1999)). In Germany, only 33 per cent of organic products are distributed by general food retailing, whereas their share is 67 per cent for all foods.…”

“…Since the 1990s, there have been several important developments that are changing the characteristics of the market. Some of the large European food retailers started to offer organic product lines (Van der Grijp and den Hond, 1999). Food retailers became increasingly involved in the organic market and launched retailer brands specifically for organic products.…”

“…The pressure from PL sales may stimulate further product development and innovation by branded manufacturers, thus increasing the product quality variety for consumers (Dumke, 1996; Van der Grijp and den Hond, 1999; Dienel, 2001). PLs are thought to push for process innovation while NBs compete using product innovation (Traill and Meulenberg, 2002).…”