Australia Organic Food Market

Australia Organic Food Market Overview:

The Australia organic food market size reached USD 1.05 Billion in 2023. Looking forward, IMARC Group expects the market to reach USD 2.16 Billion by 2032, exhibiting a growth rate (CAGR) of 7.80% during 2024-2032. The market is primarily driven by increasing consumer demand, rising health awareness, easy accessibility in supermarkets like Woolworths and Coles, and significant expansion of the retail sector.

Australia Organic Food Market Trends:

Increasing Consumer Demand:

Consumer interest in organic products in Australia has increased, as evidenced by consistent growth in spending on these goods which highlighted a marked increase in consumer expenditures on certified organic products from one year to the next. This trend is backed by data from industry reports by the Australian Organic Ltd., the Australian organic sector is continually evolving, boasting a market value exceeding $2 Billion from domestic and international sales in 2020. According to the report on organic farming in Australia from 2020, this industry was expected to see a revenue increase of 7.9% during the 2020-20221 period and is projected to grow at an annual rate of 14.9% over the next five years, reaching an estimated $3.9 Billion by 2025-2026. Besides, the sector comprises over 3,200 certified entities, including farmers, manufacturers, wholesalers, and retailers nationwide. Notably, farmers make up 41% of these certified entities, often managing diversified operations that produce a variety of products such as fruits, vegetables, dairy, cattle, sheep, fodder, and grain. Furthermore, growing awareness of the long-term effects of dietary choices on health is a major contributor to the public's developing health consciousness. Along with this, Australians are choosing more organic products as a result of environmental concerns becoming increasingly prominent in consumer decisions that emphasize soil protection and renewable resources.

Significant Retail Expansion

The Australian organic food market is experiencing robust growth, driven by significant retail expansion. According to the Australia Retail Association (ARA), in May 2024, Australian retail sales experienced a slight uptick, with a year-on-year increase of 1.7%. Moreover, data from the Australian Bureau of Statistics (ABS) indicated that retail spending across the country reached $35.9 Billion in May. Besides, food sales also increased by 3%. Meanwhile, cafes, restaurants, and takeaways saw a modest increase of 0.9%. This surge is largely due to major supermarket chains like Woolworths and Coles expanding their organic product offerings. Furthermore, by increasing the availability of organic foods, these retailers have made it easier for a wider range of consumers to purchase these products. This accessibility is crucial as it taps into the growing consumer awareness and demand for health-conscious and environmentally friendly products. As more consumers opt for organic foods due to their perceived health and environmental benefits, retailers are responding by stocking more of these items. This strategic expansion by major retailers is meeting current consumer needs while driving the overall growth of the organic food sector in Australia.

Australia Organic Food Market News:

• In March 2024, Hewitt, an Australian food producer, received two prestigious accolades at this year's Australian Organic Industry Awards, securing the Business of the Year and Brand of the Year awards for its Cleaver’s Organic brand. These awards celebrate high standards and exceptional contributions within the Australian organic sector, highlighting notable achievements of individuals, products, brands, and companies. Moreover, Hewitt earned the Business of the Year title, recognizing their significant contributions and innovations in the certified organic market. Additionally, the award acknowledges Hewitt's dedication to advancing employee skills in certified organic practices.
• In March 2024, Australian Oilseeds Holdings Limited, a company that is involved in the processing, manufacturing, and distribution of non-GMO oilseeds, and organic and conventional food-grade oils, has collaborated with EDOC Acquisition Corp., a publicly traded special purpose acquisition company. This strategic deal, which received approval from EDOC shareholders on March 5, 2024, represents a significant step forward for Australian Oilseeds, establishing it as the largest cold-pressing oil facility in Australia and the Asia Pacific region.

Australia Organic Food Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2024-2032. Our report has categorized the market based on product type, and distribution channel.

Product Type Insights:

• Organic Fruits and Vegetables
• Organic Meat, Poultry and Dairy
• Organic Processed Food
• Organic Bread and Bakery
• Organic Beverages
• Organic Cereal and Food Grains
• Others
   

The report has provided a detailed breakup and analysis of the market based on the product type. This includes organic fruits and vegetables, organic meat, poultry and dairy, organic processed food, organic bread and bakery, organic beverages, organic cereal and food grains, and others.

Distribution Channel Insights:

• Supermarkets and Hypermarkets
• Specialty Stores
• Convenience Stores
• Online Stores
• Others
   

A detailed breakup and analysis of the market based on the distribution channel have also been provided in the report. This includes supermarkets and hypermarkets, specialty stores, convenience stores, online stores, and others.

Regional Insights:

• Australia Capital Territory & New South Wales
• Victoria & Tasmania
• Queensland
• Northern Territory & Southern Australia
• Western Australia
   

The report has also provided a comprehensive analysis of all the major regional markets, which include Australia Capital Territory & New South Wales, Victoria & Tasmania, Queensland, Northern Territory & Southern Australia, and Western Australia.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Australia Organic Food Market Report Coverage:

Key Questions Answered in This Report:

• How has the Australia organic food market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the Australia organic food market?
• What is the breakup of the Australia organic food market on the basis of product type?
• What is the breakup of the Australia organic food market on the basis of distribution channel?
• What are the various stages in the value chain of the Australia organic food market? 
• What are the key driving factors and challenges in the Australia organic food?
• What is the structure of the Australia organic food market and who are the key players?
• What is the degree of competition in the Australia organic food market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Australia organic food market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Australia organic food market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Australia organic food industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.