Values up but volume static
Fresh fruit and vegetable values are expected to increase in the next year. However, the total volume sold will remain virtually static, according to predictions in Key Note's survey published this week.
Consumption of potatoes and green vegetables have declined in the last five years by 19% and 11% respectively, although fruit has risen 14%.
But, in a commodity market where many products are low priced, most increases are due to a wider range of premium salads, lunchbox packs, and mini fruit.
Trends toward convenience fresh fruit, such as easy peelers, are set to continue as is the increase in imported exotics. Further links within the snack market are expected with dairy products.
Development will be driven by innovation within the multiple sector which already account for 77% of sales and are in a position to dictate terms to suppliers.
The numbers of growers and wholesalers will contract as sourcing becomes more global and distribution more sophisticated. Their role will be further weakened by the effects of suppliers and retailers trading via the internet.
The report values fresh produce sales at £6.54bn rising to £7.32bn over the next four years. Currently vegetables, where the UK is virtually self-sufficient, account for £3.5bn. Fruit, the majority of which is imported, is worth £2.93bn.
Bananas, which have the largest share, are being segmented by multiples to boost sales. Different lines now include red bananas, snack packs and baby size. Apples are still the second most popular with Golden Delicious tipping 26% value share.
Easy peelers continue to take over oranges and grapefruit, while strawberries are the UK's bestselling soft fruit. Exotics like limes, mangoes, avocado and kiwi are expanding but consumption remains low among the young.
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