On Wednesday and Thursday of this week, the annual Organic Produce Summit was held at the Monterey Conference Center, downtown Monterey, California. The event kicked off with Field Tours and an opening reception on Wednesday. Educational sessions and an afternoon trade show filled the program on Thursday. About 180 companies exhibited on a busy and sold-out trade show floor. Stay tuned for the photo report that will be published on Monday.
Educational session on snacking
Preceding the tradeshow were educational sessions in the morning. One of the sessions was a panel discussion, exploring the rise of organic snacking items in the produce department. In the U.S., the total snacking category accounts for $135 billion annually, with a CAGR of 3.1 percent through 2030. Growth in the category is largely driven by convenience as well as health & wellness trends. "Today, 88 percent of consumers snack once a day and 60 percent of consumers snack twice a day," says David Bright of Grimmway Farms and one of the panelists. With consumers moving away from the standard three meals per day, there is a tremendous opportunity to develop healthy snacks.
In 2023, the total organic snacking category experienced 2.7 percent growth and David Baxter with Bard Valley / Natural Delights acknowledges there is a growing demand for organic snacks. "Offering organic date snacking products is key for us," says Baxter. "When people are hesitant to try dates, it's great to able to offer a small packaging option they can try out versus having to buy a whole box. A date snack is sometimes all it takes to get them into the category," he added.
Faith Garrard (moderator) and panelists David Baxter, Angela Hernandez, and David Bright.
Inflation
While inflation has been a concern, organic shoppers seem to continue buying organic (snacking) products. "It's a lifestyle," says David Bright. "People have become more aware of what they put in their bodies," he added. While price may not be critical for consumers who are accustomed to certain organic snacking products, it needs to be attractive at the beginning. "To get people to try a new snacking product, the price needs to be attractive, and the beginning phase requires heavy promotion," says David Baxter. "It's important for the consumer to get familiar with a brand and a product," says Angela Hernandez with Trinity Company.
The development of healthy snacking products has taken off. While the category is highly competitive, it still offers lots of opportunities for the fresh produce industry in the years to come.