Posts Tagged “vegetable sales”
Second-quarter vegetable sales totaled $7.68 billion, up 5.3 percent from the same period in 2018.
Fruit sales declined 0.6 percent to $8.16 billion on mixed performance of individual commodities, according to the latest FreshFacts on Retail report.
“Mandarins rebounded from supply challenges to return to strong double-digit growth,” the United Fresh Produce Association wrote in the report. “With just one commodity reaching more than half of all households during the quarter, opportunities exist to increase product reach.
“Private label also presents an interesting opportunity as it’s far less developed in fruit than vegetables but increased sales by double digits,” United Fresh wrote.
Strawberry volumes sales dropped 8.2 pecent, and dollar sales fell 7.8 percent to $814 million. Oranges saw a 5.4 percent dip in volume, and dollar sales dropped 11.6 percent to $268 million. Avocados also saw a 7 percent decrease in volume, but dollar sales increased 10.3 percent to $639 million.
Mandarins saw a 23.8 percent increase in volume and 13.5 percent increase in dollar sales to $423 million, and raspberry volume grew 14.4 percent, spurring a 6.5 percent jump in dollar sales to $237 million.
Vegetables that fared well in the second quarter included lettuce, with dollar sales up 6.8% to $454 million; bell peppers, with dollar sales up 5.6% to $406 million; broccoli, with sales up 9.3% to $254 million; and onions, with sales up 15.1% to $553 million.
The value-added vegetable category also saw growth in the second quarter, growing 6.2 percent in volume and 8.8 percent in dollar sales to $391 million.
The following items saw both volume and dollar sales increase substantially:
- Mixed vegetables: +7.4 percent to 27 million pounds, +8.0 percent to $106 million
- Broccoli: +13.5 percent to 21 million pounds, +15.2 percent to $61 million
- Celery: +23.9 percent to 11 million pounds, +26.9 percent to $28 million
Organic produce sales also grew in the second quarter, reaching nearly $1.5 billion, up 3.9 percent from the same time in 2018.
Berries were among the organic items with the most growth since last year, with volume increases of 11 percent for strawberries, 15.4 percent for blueberries and 27.8 percent for raspberries. Lettuce and the herbs and spices category also saw significant increases.
Organic fresh produce items reached almost $5 billion in 2017, an 8 percent increase from the previous year, according to data released by the Organic Produce Network and Nielsen. Overall, nearly 2 billion pounds of organic produce were sold in grocery stores last year, a 10 percent volume increase from 2016.
Partnering with Nielsen, OPN’s review of 2017 organic fresh produce sales at retail stores across the United States shows dollar sales of organic fresh vegetables were $2.4 billion, while organic fresh fruit sales topped $1.6 billion. Nearly $1 billion in organic value-added produce items brought total sales to $4.8 billion in 2017.
Sales of organic fruit volume and dollar sales were up 12.6 percent from 2016 to 2017, while organic fresh vegetable sales showed a 4 percent increase in dollar sales and a 6 percent increase in overall volume. Organic packaged salad was again the leading organic fresh produce item sold last year, approaching $1 billion in sales. Packaged salad still accounts for one in five organic dollars, but the 2.3 percent growth rate was below the department average.
Organic fruits led the growth with a 23 percent increase in organic berry volume sales. Not far behind was the growth of bananas and apples. Organic berry sales, which include strawberries, blueberries and blackberries, topped $586 million in 2017, with volume up 22 percent from last year. Organic apple and banana volume increased 11 and 17.5 percent respectively last year, while the average retail prices for each category down 8 and 3 percent.
“What’s most impressive about these two categories is the growth they were able to achieve in organic despite stagnant or declining conventional fresh produce sales. This also highlights that even the most mature categories have opportunity to grow the consumer base and sales through an organic offering,” said Matt Seeley, co-founder and chief executive officer of Organic Produce Network. “Not many product groups can claim double-digit growth in today’s competitive environment, which reinforces the power and importance of organic produce.”
Rounding out the top five was double-digit growth from organic fresh produce beverages and the herb and spices segment.
“Potatoes, grapes and citrus all rank in the top 10 for conventional sales but fail to crack the top 10 in organic sales, which shows that some categories still have opportunity for an increased market presence, said Matt Lally, an associate director at Nielsen. “Understanding and setting pricing strategies between conventional and organic varieties is critical for success. People will pay a premium for organic, but at some point, they will trade to conventional or out of the category all together.”