Organic sales slump for first time

According to the newspaper the Guardian, cost-conscious shoppers turned their backs most decisively on organic produce.

Overall, organic sales fell last year from a record high of £2.1bn in 2008 to £1.84bn, according to the Organic Market Report 2010. The report provides the most up-to-date analysis of the organic market, examining the performance of different sectors and polling consumers. It is produced every year by the Soil Association, which promotes organic farming and food in the UK as well as overseeing the main accreditation scheme.

The sector's reversal of fortunes comes after many years of strong, double-digit percentage growth. But shoppers reined in their spending in the economic downturn and leading retailers cut back organic ranges and shelf space.

But on a positive note, the report also indicates clear signs of increasing confidence among consumers. Based on evidence from the early months of this year, the Soil Association predicts a modest market expansion of between 2 per cent and 5 per cent in 2010.