Assessing the Growth Opportunities for Irish Horticulture
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Assessing the Growth Opportunities for Irish Horticulture February 2020
Introduction & Methodology February 2020
Key Project Objective
To identify opportunities for crops which could be grown in Ireland
and to help inform a future strategy for the sector
8
Research Process
1 3 5
Horticulture Industry Develop Import Outline Opportunities
Capability Assessment Reliance Map - Market Mapping
2 4 6
Understand Horticulture Market Identify Buyer Motivations Report Development & Presentation
Dynamics in Ireland
9
Market Segmentation
Irish
Horticulture
Edible
(Retail/ Amenity
Foodservice)
Plants / Cut
Vegetables Fruit
Flowers
Amenity
Protected Amenity Food
Field Veg Protected Veg Organic Veg Top Fruit Organic Fruit Specialist
Fruit Retail
Garden Retail
The Irish Horticulture market was segmented into 3 key areas, with 8 sub
sections – highlighted in green.
10
Methodology – sector attractiveness
Each of the sub-sectors identified have
been plotted on a matrix to identify the
most attractive sectors for Irish producers
to target.
They are then positioned into various
quadrants according to their average value
per kilo and import volume for the year.
• They are considered high in value if the price
achieved is above average for vegetable
imports.
• They are considered large volume sectors if
the amount imported is above average for
vegetables imported into Ireland.
Market Background
15
Attitudes Towards Fruit and Vegetables
100%
90% 83% 81%
80%
70% 65%
58%
60%
%
50% 40%
40%
30%
20%
10%
0%
I think supermarkets should I am currently trying to eat more I would like to see more I would pay more for fruit and I would like prepared portions of
provide more Irish sourced fruit fruit and vegetables information about the grower on vegetables that guarantees a fair fruit and vegetables (eg apple
and vegetables where possible fruit and vegetable packaging price is paid to farmers slices) to be equal to one of my 5
a day
Source: Mintel, Fruit and Vegetables – Ireland, March 2019, 2018 Toluna Data
Irish fruit and vegetables are in demand. Locally sourced produce is a key
requirements for Irish consumers, with over 80% of consumers believing
supermarkets should provide more, where possible 16
Irish Retailers Committed to Irish Produce
All of the major retailers publicly state their commitment to source Irish
produce with key ranges entirely sourced from Irish producers
17
Irish Foodservice Suppliers Committed to Irish Produce
There is a commitment from foodservice suppliers, but support does not
seem to be as developed vs retail 18Irish Food Service Market – QSR
Any Provenance of Irish Vegetables/
Outlet or Chain Number of Irish Outlets Irish Provenance on Menu Vegetables/ Fruit Stated Fruit Stated on
on Menu Menu
IPC Europe (Subway) c.300 Franchises No No No
Supermacs c.100 Yes Irish Beef No No
McDonalds 91 Yes Irish & British Beef No No
79 Franchises
Domino's Pizza No No No
(50RoI, 29NI)
No but do state will
Freshly Chopped 50 Yes Dubliner Cheese No source locally
where possible
AIL Group (Abrakebabra/ c. 130 food outlets in Yes Irish Beef (Abrakebabara)
No No
O'Brien/ Bagel Factory) Ireland (franchised out) Yes Irish Ham/Sausages (O'Brien)
Nandos 18 Yes Irish Chicken No No
No but will source
local vegetables
Camile Thai 18 (16RoI, 2 NI) Yes Irish Beef Steak No
and herbs when in
season
Source: Bord Bia Irish Foodservice Directory and Levercliff Audits 2019
A number of major chains have Irish provenance on their menu however this is
primarily focussed on meat and dairy. Horticulture produce listed on the menu
does not tend to have a country of origin reference. This is similar for hotels and
19
coffee shopsIrish Food Service Market – FSR* and Pubs
Irish Vegetables/
Number of Irish Any Provenance of Vegetables/
Outlet or Chain Irish Provenance on Menu Fruit Stated on
Outlets Fruit Stated on Menu
Menu
Yes Irish Beef, Irish Strawberry
Entertainment Enterprise Group c.69 in total No but reference to seasonality No
and Cream Icecream
Eddie Rocket's 40 Yes Irish Beef No No
Brambles 24 Yes Irish Beef, Irish Chicken No but reference to seasonality No
Yes Irish Beef /Rhubarb /Crab Yes Irish rhubarb/ Wye Valley new
Avoca 13 Yes Irish rhubarb
/Mackerel/ Pork season asparagus
Yes Irish Pork/ Beef/Gin/
Gourmet Food Parlour 8 No but reference to seasonality No
Liqueur
Sprout & CO 7 Yes There is reference to local produce Yes Local Greens
Yes Irish Beef
Donybrook fair 5 - -
Menu unavailable
JD Wetherspoons 5 Yes Irish Beef/ Whisky Sauce No No
Happy Pear 3 Menu Not Available - -
Wagamama 3 No - -
Some Reference, Irish Chicken
Le Pain Quotidien 2 No No
Club
Source: Bord Bia Irish Foodservice Directory and Levercliff Audits 2019, *Full Service Restaurants
There is more evidence of provenance of horticulture produce in more
upmarket outlets such as full service restaurants but it is still not as
prominent as Irish meat 20Key Food Service Trends
Continued
Continued
demand by
desire to
consumers
source
for “fresh”
Irish products
food
There should be growing demand for horticulture produce as consumers demand more fresh food.
According to Technomic Irish foodservice operators continue to cite provenance and Irish sourcing
as a key driver for purchasing wherever possible
Source: Irish Foodservice Market Insights, November 2018, *ROI & NI
In some cases availability is a reason operators look elsewhere
21Horticulture Capability Assessment
Industry Expert Opinions
22Industry Expert Opinions:
Horticulture Industry MACRO Influences
Labour Farmers are reliant on migrant workers to process fruit and vegetables, and having to
become increasingly innovative to find and retain suitable, motivated and reliable staff.
Access to suitable accommodation is a challenge for producers.
Sustainability The industry is facing major sustainability challenges in terms of chemical usage and not
being able to use Peat as a growing medium.
Pricing A highly competitive supermarket environment continues to put pressure on retail prices
of fruit and vegetables. The benefits of producer efficiencies are being eroded by
reduced retail prices.
Scale The Irish market is relatively small which limits investment opportunities for major
projects.
Levercliff interviewed two industry experts to gain an understanding of the
key challenges the sector faces.Industry Expert Opinions: Organic
Organically growth edible produce – protected or unprotected
Challenges • Highly fragmented producer base, mostly due to requirement to rotate crops,
resulting in relatively small crop sizes.
Opportunities • There is current high demand from consumers.
• Future demand is going to come from consumers. The plant based consumer
will soon want pesticide free too.
• Collaboration between producers to lose their fear of the supermarkets,
instead working with them.
Enablers • Development of producer organisations could stimulate growth.
• There has been little research devoted to organic.Industry Expert Opinions: Big Ideas
Industry experts identified 5 key areas
Development Groups • The Apple Development group could set a precedent for future potential
development groups. Collaboration is key.
Producer • Not all sectors have producer organisations in place. These assist with shared
Organisations resources, and enable farmers to collaborate and plan for future growth.
Products • Organic produce, or a new IPM focussed area is an opportunity
• Blueberries are ready for up-scaling.
Glasshouses • There is significant opportunity to grow crops for local market, and with the correct
support, for export to the UK.
Policy • Favourable government policy could boost production in the sector, as it feels more
focussed on other sectors at present.
Training • There is a real opportunity to up-skill growers to manage their businesses more
effectively, and embrace change.Retail Market Overview: Vegetables
Total Irish Retail Fresh Veg. Sales (incl. Potatoes) 2017-
2019
Value Volume % Growth
€900.0 600.0
774.9 797.2
€800.0 772.1
488.6 478.4 476.3
500.0
€700.0
Million KGs
€600.0 400.0
€m
€500.0
-0.4% +3.2% 300.0 -2.1% -0.4%
€400.0 2017-18 2018-19 2017-18 2018-19
€300.0 200.0
€200.0
100.0
€100.0
€0.0 0.0
2017 2018 2019 2017 2018 2019
Source: Kantar Worldpanel 52 w/e 29th December 2019
As fresh vegetable prices have increased volume sales have declined. This has
benefited growth of frozen vegetable sales, However frozen vegetables still remain a
small segment with sales less than 7% of total fresh vegetables value salesTotal Irish Retail Veg. Sales by Type 2019 (Top 15)
Total Market Total Market
Value Sales Unit Sales (‘000)
(‘000) based on based on
Value Sales Value Volume Sales kg Volume Growth A Key Imported
Product Type Leading Retailer Retailer Sales
2019 (‘000) Growth % 2019 (‘000) % Line
Sales using using Kantar
Kantar Value Volume Share
Share (2019) (2019)
Potatoes Field € 236,823 €129,745 21.2 207,832 1,093,852 -1.2 X
Tomato Protected € 110,471 € 72,068 -1.6 32,592 45,640 -1 X
Peppers Protected € 62,107 € 37,295 6.5 16,217 31,363 7 X
Carrots Field € 60,327 € 24,226 -4.4 62,274 26,796 -1.2 X
Mushroom Protected € 53,913 € 26,985 -4.3 16,712 32,996 -0.3
Broccoli Field € 34,348 € 23,283 3.3 14,596 18,830 -4 X
Onions Field € 33,963 € 21,753 2.5 33,710 25,768 -13.5 X
Lettuce Protected € 28,541 € 11,969 -7.3 12,433 14,108 -7.6 X
Total Herbs Incl Garlic € 19,030 € 22,643 -0.3 2,132 22,437 5.8
Cucumber Protected € 17,717 € 10,946 7.1 10,736 15,497 3.1
Cabbage Field € 15,257 € 8,472 -2.7 8,948 7,566 -11.2 X
Spring Onions Field € 9,568 € 8,514 0.9 2,316 10,975 1.6
Celery Field € 9,154 € 5,388 5.4 5,580 5,910 2.8
Cauliflower Field € 8,552 € 6,536 6.7 4,485 5,034 1.9 X
Parsnips Field € 8,432 € 5,631 -2.4 4,532 5,569 -2.8
Beans Field € 8,420 € 5,640 3.1 1,425 3,814 20.2 X
Source: Kantar Worldpanel 52 w/e 8th September 2019/ Retailer Data 52 w/e 18th November 2019 *Retailer EPOS Data has been used as a base for a comparative figure to Kantar which is based on Panel Data
7/10 of the top best-selling produce areas in Irish retail are also key imported linesTotal Irish Retail Veg. Sales by Type 2019 (Remaining Areas)
Total Market
Total Market
Value Sales
Unit Sales based
based on
Value Sales Value Volume Sales kg on Retailer Sales Volume Growth A Key Imported
Product Type Leading Retailer
2019 (‘000) Growth % 2019 (‘000) using Kantar % Line
Sales using
Volume Share
Kantar Value
(2019)
Share (2019)
Garlic Protected € 7,981 € 7,567 3.8 975 5,900 7.3 X
Peas Field € 7,851 € 3,976 -5.3 1,424 4,493 7.8
Turnips/Swedes Field € 7,526 € 4,094 2.3 5,829 6,246 1.2 X
Sweetcorn Field € 7,443 € 3,724 -1.6 2,480 3,429 9.3
Asparagus Field € 6,798 € 5,679 -7.4 1,276 5,104 -1.4
Spinach Field € 6,612 € 7,913 -11.4 1,156 6,336 -5.2
Courgettes Protected € 6,586 € 4,521 -5.4 3,204 4,200 7.7
Brussel Sprouts Field € 5,894 € 2,993 -10.1 3,393 3,145 -1.4
Leeks Field € 5,369 € 4,317 -8.8 1,717 3,792 -18.1 X
Sweet Potatoes Field € 5,209 € 5,150 -24.4 3,133 3,524 -33.9
Beetroot Field € 2,939 € 3,275 -10.1 1,827 3,522 -5.2
Squash Field € 2,687 € 1,479 -7.2 4,256 1,643 -9.4
Kale Field € 2,679 € 1,257 0.5 537 1,141 -21.5 X
Pumpkin Field € 1,653 € 1,664 19.7 381 606 22.2
Aubergines Field € 1,429 € 5,154 -3.6 814 7,667 7.1
Radish Field € 1,282 € 972 3.7 495 1,418 14
Chinese Leaves Field € 436 € 512 35 112 297 -16.3
Chicory Field € 413 €0 24.9 * 0 36.3
Source: Kantar Worldpanel 52 w/e 8th September 2019/ Retailer Data 52 w/e 18th November 2019
There are also a number of smaller segments for Irish producers to targetKey Points for Bord Bia
• The retail market has been impacted by supply issues over the past year which has had
an impact on price – this makes it a volatile market for suppliers
• Many of the large vegetable segments in retail are also key vegetable types that are
imported indicating that demand (Retail/Foodservice or Manufacturing) is reliant on
imported produce
• There are key retail insights for Irish producers to consider
‒ Potatoes: Increasing interest in varieties other than Rooster
‒ Tomatoes: Vine are the largest by value, but plum varieties are performing well
‒ Peppers: The market is dominated by the strong performing traffic light pack
‒ Onions: Value growth is being maintained despite price increases
‒ Lettuce: There is a strong preference for butterhead lettuces
‒ Swede/Turnip: Swede dominates sales and are experiencing good growth
73Foodservice Market Overview: Vegetables
Foodservice, Veg. Market Sizes, Fresh, Frozen and
Ambient, OBP*, 2017
Value Consumed Volume (Finished Weight)
180.0 200.0
160.0 180.0
166.0
160.0
140.0
€m
Kg m
135.0 140.0
120.0
120.0
100.0 178.0
100.0
80.0
80.0
112.0
60.0
60.0
40.0
40.0
20.0 20.0
0.0 0.0
Vegetables Potatoes Vegetables Potatoes
Source: Irish Foodservice Produce Market Insights, 2017, *ROI & NI *OBP Operator Buying Prices
Potatoes is the key volume area within foodservice but does not command as much
value as it is a competitive market
Vegetables is smaller in volume but commands greater valueFoodservice, Fresh Veg. Estimated Volume Market Sizes
Foodservice Operators Purchased Volumes of Fresh Produce Only
100.0
90.0
80.0
Kg m
70.0
60.0
93.2
50.0
67.7
40.0
30.0
20.0
10.0
0.0
Vegetables Potatoes
Source: Irish Foodservice Produce Market Insights, 2017, Kantar Worldpanel Average Prices 2019, Assuming 40% Retail Margin and 25% Foodservice Wholesaler Margin
Fresh potato sales equate to 45% of total retail sales
Vegetables represents 25% of total retail salesKey Points for Bord Bia
• Foodservice is a smaller market vs retail but could represent an
opportunity for producers with the right products
• The restaurant sector is a key area for horticulture producers with sales
fragmented amongst other sectors
• Fresh vegetable purchases are in growth, and expected to continued to
grow but staff and skill shortages may impact on the types of product
required – potentially increased demand for more prepared products
81Market Opportunities and Feedback: Organic Vegetables
Total Organic Veg. Irish Retail Sales 2018-2019
Value Volume
60.00 45.00
39.18 Yr on Yr %
40.00 Growth
48.66 36.17
50.00 46.32 35.00
Units (m)
40.00 30.00
-4.8% -7.7%
€m
25.00
30.00 2018-19 2018-19
20.00
20.00 15.00
10.00
10.00
5.00
0.00 0.00
2018 2019 2018 2019
Source: Retailer Data 52 w/e 18th November 2019
Organic vegetables have experienced a decline in value and volume retail
salesOrganic Field Veg. Retail Market ROS Perf. Ranked by
Value 2018-2019
Number of weeks with
Indicative Value Indicative Units Number of weeks with
Total Market Sales 2019 Sales (Conventional
ROS/ Store/ Week ROS/ Store/ Week Sales
Field Vegetables Veg Leading Line)
52 weeks to 18th November 2019
2019 2019 2019 2019
Potato €5,549,233 € 94 48 52 52
Carrot €3,746,253 € 121 177 52 52
Onion €3,406,560 € 58 52 52 52
Broccoli €1,985,520 € 72 41 52 52
Celery €1,609,988 € 84 47 38 52
Beetroot €1,308,014 €38 21 52 52
Cauliflower €1,028,864 € 52 18 48 52
Courgette €577,152 € 58 26 52 52
Parsnip €405,379 € 29 13 37 52
Kale €314,742 € 47 30 42 52
Leek €258,375 € 23 12 43 52
Squash €244,412 € 25 12 40 52
Watercress €219,700 € 29 14 30 2
Cabbage €45,094 € 10 5 25 52
A key focus should be to develop an Irish supply of the best selling lines including Cabbage
Source: Levercliff Audits, November 2019
The top 6 best selling conventional field vegetables are Potato, Carrot, Broccoli, Onion,
Cabbage and Spinach – Organic sales are in line with the conventional market except for
cabbage and cauliflower which has poor availability
Organic carrots is the best selling line in terms of ROS – Supplied by Irish producersRetail Market Opportunity By Field Vegetable Type
Good Availability by
Retailer
Develop Varieties
Carrots
Kale
Limited Good
Range – Range
Opportunity Potatoes
for more
varieties Onions Broccoli Celery
Cauli-
flower CabbageCourgette
Develop Irish Supply Improve Supply
Poor Availability by
Retailer
The focus for protected vegetables is to improve supply of key crops by
extending the availability across the year
122Organic Carrots ROS Performance, 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Carrot Type
SuperValu, €1.59, Tesco, €0.69, 1kg Lidl, €0.99, 1kg Organic Fresh,
Organic Carrots
750g (Irish) (Irish) (Irish) €0.69, 700g (Irish)
Indicative Value ROS/ Indicative Units ROS/ Number of weeks with
Total Market Sales
Store/ Week Store/ Week Sales
Item Level
52 weeks to 18th November
2018 2019 2018 2019 2018 2019
2019
ORGANIC CARROTS €3,746,253 €143 €121 178 177 52 52
Source: Levercliff Audits, November 2019, Retailer Sales Data 104 wks. to 18 th November 2019
Irish organic carrot growers are well represented in the retail market with
relatively wide distribution across the retailersOrganic Irish Potatoes: Retailer and ROS Perf.
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Potato Type
SuperValu
Organic,
Valor Organic
€1.50/kg, 2kg
(Irish)
Aldi Organic,
Imported Organic Lidl Organic,
€1.50/kg, 2kg
Rooster Potatoes €1.50/kg, 2kg (UK)
(Scottish)
Indicative Value ROS/ Indicative Units ROS/ Number of weeks with
Total Market Sales
Store/ Week Store/ Week Sales
Item Level
52 weeks to 18th
2018 2019 2018 2019 2018 2019
November 2019
Retailer Own Label ORGANIC POTATOES 2KG €4,142,391 €134 €140 76 71 52 52
Retailer Own Label ORGANIC BABY POTATOES 750G €1,209,290 €76 €58 39 29 52 52
ORGANIC NEW POTATOES 1.5KG €40 €4 €4 1 1 2 2
Source: Levercliff Audits, November 2019, Retailer Sales Data 104 wks. to 18 th November 2019
Supervalu is the only retailer which had Irish organic potatoes in store. There is
opportunity to develop an Irish organic variant of the Rooster. Aldi and Lidl are
currently the only retailer to have an organic Rooster which is imported.Organic Onions ROS Perf. 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Onion Type
SuperValu Organic, Tesco Organic,
Imported Organic
€2.39/kg, 750g €1.32/kg, 750g
Brown Onion
(Netherlands) (Holland)
Conventional Irish Dunnes, €1.25/kg, Aldi, €1.19/kg, 750g
Brown Onion 800g (Ireland) (Ireland)
Indicative Value ROS/ Indicative Units ROS/ Number of weeks with
Total Market Sales
Store/ Week Store/ Week Sales
Item Level
52 weeks to 18th November
2018 2019 2018 2019 2018 2019
2019
ORGANIC BROWN ONIONS 750G €1,852,111 €69 €72 95 79 52 52
Retailer Own Label RED ORGANIC ONIONS 500G €657,803 €44 €45 32 25 52 52
Source: Levercliff Audits, November 2019, Retailer Sales Data 104 wks. to 18th November 2019
There were no organic Irish onions supplied in store at the time of auditing.
The organic onions for sale were imported from Holland, the Netherlands and Spain.
There is an opportunity for organic onion growers to supply onions to retailers, with
the greatest opportunity in brown onions.Organic Broccoli ROS Perf. 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Type
SuperValu Organic, Lidl Organic, Aldi Organic,
Imported Organic
€4.98/kg, 400g €3.73/kg, 400g €3.73/kg, 400g
Broccoli
(Spain) (Spain) (Spain)
Standard Irish Lidl, €1.78, 500g
Broccoli (Ireland)
Indicative Value ROS/ Indicative Units ROS/ Number of weeks with
Total Market Sales
Store/ Week Store/ Week Sales
Item Level
52 weeks to 18th
2018 2019 2018 2019 2018 2019
November 2019
T.ORGANIC TENDER STEM BROCCOLI 200G €721,350 €0 €95 - 40 - 30
Retailer Own Label ORGANIC BROCCOLI 400G €1,264,170 €62 €59 44 41 52 52
Source: Levercliff Audits, November 2019, Retailer Sales Data 104 wks. to 18 th November 2019
There will soon be capabilities to produce an Organic Broccoli in Ireland. There was
currently no Irish Organic Broccoli in stores audited.
Despite Tender Stem Broccoli generating a higher value ROS due to its higher price,
production in Ireland is likely to be more challenging and seasonal.Organic Celery ROS Performance, 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Type
Tesco Organic, Aldi Organic,
Imported Organic SuperValu Organic, Lidl Organic, €1.29, 1
€5.11/kg, 350g €3.69/kg, 350g
Celery €1.99, 1 Bag (Spain) Unit (Spain)
(Spain) (Spain)
Tesco, €1.76/kg, Lidl, €1.98/kg, 400g Aldi Egan’s, €1.98/kg,
Standard Irish Celery
450g (Ireland) (Ireland) 400g (Ireland)
Indicative Value ROS/ Indicative Units ROS/ Number of weeks with
Total Market Sales
Store/ Week Store/ Week Sales
Item Level
52 weeks to 18th
2018 2019 2018 2019 2018 2019
November 2019
Retailer Own Label ORGANIC CELERY €1,463,616 €74 €86 44 49 46 38
T.ORGANIC EAST ANGLIAN CELERY EACH €9 €0 €2 - 1 - 1
Source: Levercliff Audits, November 2019, Retailer Sales Data 104 wks. to 18 th November 2019
Organic celery has the 3rd highest value ROS in organic and is imported.
There should be an attractive opportunity to displace imported supply with an Irish
variant.Organic Cauliflower ROS Perf., 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Type
Tesco Organic,
Imported Organic
€2.99, 1 Unit
Cauliflower
(Spain)
Conventional Irish Dunnes, €1.29, 1 Unit Aldi, €1.29, 1 Unit
Cauliflower (Ireland) (Ireland)
Indicative Value ROS/ Indicative Units ROS/ Number of weeks with
Total Market Sales
Store/ Week Store/ Week Sales
Item Level
52 weeks to 18th
2018 2019 2018 2019 2018 2019
November 2019
ORGANIC CAULIFLOWER EACH €1,089,386 €69 €52 24 18 52 48
Source: Levercliff Audits, November 2019, Retailer Sales Data 104 wks. to 18 th November 2019
Organic cauliflower was on sale in SuperValu and Tesco however neither of these
were Irish. There is an opportunity for Irish organic growers to displace imported
produceOrganic Cabbage ROS Performance, 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Type
Imported Organic SuperValu Organic,
Cabbage €1.99, 1 Unit (Holland)
Conventional Dunnes, €1.99, 1 Unit SuperValu, €1.99, 1 Tesco, €1.99, 1
Sweetheart Cabbage (Ireland) Unit (Ireland) Unit (Ireland)
Indicative Value ROS/ Indicative Units ROS/ Number of weeks with
Total Market Sales
Store/ Week Store/ Week Sales
Item Level
52 weeks to 18th
2018 2019 2018 2019 2018 2019
November 2019
Retailer Own Label ORGANIC SEASONAL CABBAGE €61,010 €12 €10 6 5 42 25
Source: Levercliff Audits, November 2019, Retailer Sales Data 104 wks. to 18 th November 2019
SuperValu was the only retailer to offer organic cabbage at the time of audit
indicating that availability for this type of product is poor.
Cabbage has a similar ROS to Cauliflower in conventional produce indicating a good
opportunity if Irish suppliers can develop a supply of organic cabbage.Summary of Organic Field Vegetable Opportunities
€17m by Developing New Organic Supplies
Product - Size of Opportunity Indicative Unit Target Price Point Total Retail Market Potential Total Volume
the prize based on ROS Per Store Per Size of the Prize Foodservice Sales (Retail & F/service)
1 line Week @ 25% of Retail
Potato – Organic 70 €3.50 €7.4m 1.1m kg 4.5m kg
Develop an organic
Irish Rooster 2kg 4.2m kg
Irish Rooster
pack
Onion Brown Onion 79 €0.99 €2m 0.4m kg 1.9m kg
750g 1.5m kg
Broccoli 400g 40 €1.40 €1.9m 135k kg 675k kg
540k kg
Celery 350g 50 €1.76 €2.5m 125k kg 625k kg
Develop an Irish 500k kg
Cauliflower organic supply 18 €2.89 €1.7m 143k cauliflowers 715k cauliflowers
572k cauliflowers
Sweetheart 18 €1.99 €890k 112k cabbages 560k cabbages
Cabbage 448k Cabbages
Courgette 3 Pack 26 €2.22 €1.2m 0.4m courgettes 2m courgettes
1.6m courgettes
Key Opportunities:
Develop a supply of Irish organic products focusing on the best selling linesOrganic Protected Veg. Retail Market ROS Perf. Ranked
by Value 2018-2019
Number of weeks
Total Market Sales Indicative Value Indicative Units ROS/ Number of weeks with Sales
2019 ROS/ Store/ Week Store/ Week with Sales (Conventional Veg
Protected Vegetables Leading Line)
52 weeks to 18th
November 2019
2019 2019 2019 2019
Spinach €4,580,614 € 82 30 52 52
Cucumber €2,258,463 € 107 120 52 52
Garlic €1,791,487 € 32 21 52 30
Tomato €1,602,430 € 66 30 52 52
Pepper €1,296,792 € 80 33 52 52
Mushroom €1,079,452 € 37 29 52 52
Source: Levercliff Audits, November 2019
A key focus should be for suppliers to develop an Irish supply of the best
performing lines in terms of ROS; Spinach, Cucumber, Pepper and TomatoRetail Market Opportunity By Protected Vegetable Type
Good Availability by
Retailer
Develop Varieties
Limited Good
Range – Range
Opportunity
for more CucumberTomatoes
varieties
Spinach Peppers
Develop Irish Supply Improve Supply
Poor Availability by
Retailer
The focus for protected vegetables is to improve supply of key crops by
extending the availability across the year.
132Organic Peppers ROS Performance, 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Type
Lidl Organic, Aldi Organic,
Imported Organic SuperValu Organic,
€4.98/kg, 400g €7.96/kg, 250g
Pepper €1.29, 1 Unit (Spain)
(Spain) (Spain)
Conventional Irish SuperValu, €0.99, 1
Pepper Unit (Ireland)
Total Market Indicative Value ROS/ Indicative Units ROS/ Number of weeks with
Sales Store/ Week Store/ Week Sales
Item Level
52 weeks to 18th
2018 2019 2018 2019 2018 2019
November 2019
Retailer Own Label ORGANIC PEPPER 250G €1,296,792 €96 €80 45 33 52 52
Source: Levercliff Audits, November 2019, Retailer Sales Data 104 wks. to 18 th November 2019
There is an established market for Organic peppers, however growing at a cost-
effective level in Ireland is likely to be challenging.
Aldi, Supervalu, Tesco and Lidl have organic peppers in their range however none of
these were Irish – all were imported from Spain.Organic Tomatoes ROS Performance, 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Type
Imported Organic SuperValu, €6.23/kg,
Vine Tomato 400g (Spain)
Conventional Irish Dunnes, €4.44/kg, SuperValu, €7.48/kg,
Vine Tomato 450g (Ireland) 450g (Ireland)
Total Market Indicative Value ROS/ Indicative Units ROS/ Number of weeks with
Sales Store/ Week Store/ Week Sales
Item Level
52 weeks to 18th
2018 2019 2018 2019 2018 2019
November 2019
Retailer Own Label ORGANIC VINE TOMATO 500G €1,307,174 €79 €80 33 33 52 52
Retailer Own Label ORGANIC BABY PLUM TOMATOES
250G €295,251 €57 €45 35 26 52 30
ORGANIC IOW CHERRY TOMATOES 250G €5 €5 €0 4 1 3 1
Source: Levercliff Audits, November 2019, Retailer Sales Data 104 wks. to 18th November 2019
An Irish organic tomato is not likely to be price competitive vs imported lines
Existing imported organic tomatoes are cheaper than Irish tomatoes currently
For this to be an opportunity Irish organic tomatoes would have to be cheaper than
conventional Irish tomatoes in order to displace imported linesOrganic Cucumber ROS Performance, 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Type
Imported Organic Lidl, €0.99, 1 Unit
Cucumber (Spain)
Conventional Irish Lidl, €0.59, 1 Unit Centra, €0.99, 1 Unit
Cucumber (Ireland) (Ireland)
Indicative Value ROS/ Indicative Units ROS/ Number of weeks with
Total Market Sales
Store/ Week Store/ Week Sales
Item Level
52 weeks to 18th
2018 2019 2018 2019 2018 2019
November 2019
ORGANIC WHOLE CUCUMBER €2,258,463 €113 €107 162 120 52 52
Source: Levercliff Audits, November 2019, Retailer Sales Data 104 wks. to 18 th November 2019
Organic cucumbers has the highest ROS amongst organic protected vegetables making it an
attractive opportunity for Irish producers
There were no Irish organic cucumbers in store when audited
If Irish growers can produce organic cucumbers cost effectively, there is a sizable opportunityOrganic Spinach ROS Performance, 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Type
Imported Organic Dunnes, €23.98/kg, SuperValu, €12.95/kg, Tesco, €14.95/kg,
Spinach 125g (EU) 200g (Italy) 200g (Italy)
Conventional Spinach SuperValu, €6.45/kg, Lidl, €4.45/kg, 200g Aldi, €4.36/kg, 250g
(No Irish) 200g (Italy) (Italy) (Italy)
Total Market Indicative Value ROS/ Indicative Units ROS/ Number of weeks with
Sales Store/ Week Store/ Week Sales
Item Level
52 weeks to 18th
2018 2019 2018 2019 2018 2019
November 2019
Retailer Own Label ORGANIC SPINACH €4,320,251 €126 €106 44 36 49 52
Retailer Own Label ORGANIC BABY SPINACH 100G €260,363 €0 €40 - 20 - 30
Source: Levercliff Audits, November 2019, Retailer Sales Data 104 wks. to 18 th November 2019
Organic Spinach locally grown could be a large opportunity, but may require
CAPEX for increased protected space.Summary of Organic Protected Veg Opportunities
€9.4m by developing new supplies
Product - Size of Opportunity Indicative Unit Target Price Point Total Retail Market Potential Total Volume
the prize based on ROS Per Store Per Size of the Prize Foodservice Sales (Retail & F/service)
1 line Week @ 25% of Retail
Peppers 250g 33 €2.43 €1.9m 50k kg 248k kg
198k kg
Cucumber Develop an Irish 120 €0.97 €2.8m 0.7m cucumbers 3.6m cucumbers
organic supply 2.9m cucumbers
Spinach 200g 36 €2.95 €4.7m 79k kg 396k kg
317k kg
Key Opportunities:
Develop a supply of Irish organic products focusing on the best selling lines.
There could be an additional small opportunity for organic tomatoes.Industry Expert Opinions: Organic
Challenges • A highly fragmented market, mostly due to requirement to rotate crops,
resulting in relatively small crop sizes of multiple crops from one farm.
Opportunities • There is current high demand from consumers.
• Future demand is going to be consumer driven. The plant based
consumer will soon want pesticide free too.
• Collaboration is required between producers and supermarkets, working
with them to develop solutions.
Enablers • Development of producer organisations could stimulate growth.
• There has been little research devoted to organic.Customer Opportunities for Organic
Retail Foodservice Amenity
• Focus on better availability of • Demand from workplace • Some demand for organic
volume areas: Potatoes, catering pulling through vegetable plants (6).
Carrots, Broccoli, Cabbage, the supply chain.
Onion & Cauliflower (1) • Higher end restaurants
• Vegetables the particular and independents willing
focus area (2) to make the effort.
• Onions, Cabbage & Tomatoes
(3)
1 – Aldi, 2 – Musgraves, 3 – Dunnes, 4 – Beechlawn, 5 – Glanbia, 6 – Aurivo,
7 – Pallas, 8 – Total Produce, 9 – Milnes, 10 – Richardsons. 139Customer Opportunities for Organic
• Dunnes were particularly supportive of Organic produce, citing consumer
complaints for not offering a broad enough range
• They are willing to consider anything organic. They see particular demand for local
produce (and premium products) at regional stores, specifically West Coast or
Ireland and Dublin
• Aldi were vocal that most organic produce is currently imported and that they don’t
have a local organic partner. Developing Irish Organic is an attractive opportunity
that they would be keen to explore
1 – Aldi, 2 – Musgraves, 3 – Dunnes, 4 – Beechlawn, 5 – Glanbia, 6 – Aurivo,
7 – Pallas, 8 – Total Produce, 9 – Milnes, 10 – Richardsons. 140Key Points: All organic vegetables
• Irish Carrots are the most established organic crop
• Opportunities were identified for organic field crops:
• Potatoes,
• Broccoli & Cauliflower
• Celery
• Organic protected crop opportunities
• Tomatoes & Cucumbers
• Spinach
• Mushrooms
141Market Overview: Fruit
Irish Retail Market, Fresh Fruit Sales 2017-2019
Value Volume
900.0 300.0
276.7 272.7 277.9 Yr on Yr %
793.2
800.0 757.0 765.0 Growth
250.0
700.0
Million KGs
600.0 200.0
€m
+3.7% +1.9%
500.0 2018-19 2018-19
+1.1% 150.0
400.0 2017-18
-1.4%
2017-18
300.0 100.0
200.0
50.0
100.0
0.0 0.0
2017 2018 2019 2017 2018 2019
Source: Kantar Worldpanel 52 w/e 29th December 2019
The fresh fruit market is similar in size to fresh vegetables
Fresh fruit sales are performing better and are in growth recovering from a
decline in volume sales 2017-2018Irish Retail Market, Total Fruit Sales by Fruit Type 2019
Total Market
Total Market Unit
Value Sales (‘000)
Sales (‘000)
based on Leading
Value Sales 2019 Volume Sales kg based on Retailer A Key Imported
Product Type Retailer Sales Value Growth % Volume Growth %
(‘000) 2019 (‘000) Sales using Line
using Kantar
Kantar Volume
Value Share
Share (2019)
(2019)
Citrus Tropical € 100,459 € 90,207 0.8 45,415 67,691 1.3
Banana Tropical € 85,620 € 88,083 2.0 61,974 70,186 1.4
Strawberry Protected € 109,759 € 69,889 8.7 12,051 22,312 7.4 X
Apples Top Fruit € 138,553 € 68,238 2.0 60,288 48,610 -3.6 X
Grapes Tropical € 98,715 € 54,700 4.1 21,266 23,061 6.9
Blueberry Protected € 64,996 € 52,218 -0.3 4,642 25,958 -2.5 X
Raspberry Protected € 41,069 € 32,044 8.8 2,410 14,118 9.8 X
Tropical Fruits Tropical € 60,739 € 29,522 -6.5 35,024 20,850 -3.9
Pears Top Fruit € 30,281 € 14,110 -4.8 17,563 13,639 -3.5 X
Nectarine Stonefruit € 8,799 € 6,453 -26 3,476 5,257 -14.6
Plums Stonefruit € 8,805 € 4,129 -18.6 5,261 4,546 -12.5
Peaches Stonefruit € 7,236 € 3,754 -20.2 3,260 2,582 -0.6
Blackberry Protected € 8,468 € 2,898 21.3 498 1,256 7 X
Cherries Stonefruit € 5,292 € 2,573 47.8 954 1,348 8.8 X
Apricots Stonefruit € 1,574 € 900 -10.3 867 976 5.9
Other Berries Protected € 9,253 € 599 -15.9 689 254 -14.8
Rhubarb Field € 907 € 429 88.2 422 316 38.4
Source: Kantar Worldpanel 52 w/e 8th September 2019/ Retailer Data 52 w/e 18th November 2019
A significant proportion of sales are derived from produce that is typically grown abroad Apple,
Strawberries and Raspberries are attractive segments (relatively large and/or good growth)
Blueberries is another relatively large segment but has experienced little growth
Pears is the least attractive in terms of size (Smaller than berries) and in declineFoodservice, Fruit. Market Sizes, Fresh, Frozen and
Ambient, OBP*, 2017
100.0 95.0
90.0
80.0
70.0
60.0 53.0
50.0
40.0
30.0
20.0
27.2
10.0
0.0
Value €m Volume M kg Consumed Volume Estimated Foodservice Operators
(Finished Weight) Purchased Volumes - Fresh Only (M kg)
Source: Irish Foodservice Produce Market Insights, 2017, *ROI & NI *OBP Operator Buying Prices
Fruit is the smallest segment within foodservice vs potatoes and vegetables
Fresh fruit sales equate to 10% of total retail salesKey Points for Bord Bia
• Fresh fruit is a large attractive market in retail experiencing steady growth
‒ Exotic fruit is prominent in the market capturing a large proportion of sales and is
strong competition for domestic produce
‒ However, there are clear growth trends for Irish producers to capitalise on such as the
growing demand for berries
• There are clear areas of focus for Irish producers in fruit in Top Fruit and Soft Fruit
• Apples is a key volume segment in retail and foodservice - indicating a good
opportunity for Irish producers if they can deliver a consistently good product
170Market Opportunities & Feedback: Organic Fruit
Organic Grocery Retail Market, Total Fruit Sales 2018-2019
Value Volume
45.00 25.00
22.77 Yr on Yr %
39.07
40.00 Growth
20.00 19.46
35.00 33.70
Units (m)
30.00
+15.9% 15.00 +17.0%
€m
25.00
2018-19 2018-19
20.00
10.00
15.00
10.00 5.00
5.00
0.00 0.00
2018 2019 2018 2019
Source: Retailer Data 52 w/e 18th November 2019
Organic fruit retail sales reached an estimated €39m in 2019
The market has experienced good growth over the periodOrganic Grocery Retail Market, Fruit Value Sales by
Product Type, 2019
+23.6%
% Value % Share
80.3% Growth of Value
€35
€31.4
€30
€25
€m
€20
-8.2%
€15
19.5% +103.6%
€10 €7.6 0.3%
€5
€0.1
€0
Exotic Fruit Top Fruit Protected Fruit
Source: Retailer Data 52 w/e 18th November 2019
Exotic fruit accounts for the highest proportion of value sales in organic
fruits, highlighting that top fruit and protected fruit are under represented in
this categoryStandard Grocery Retail Market, Fruit Value Sales
by Product Type, 2019
-2.6%
% Value % Share
44.7% +3.4% Growth of Value
€250
€224.2 35.9%
€200
€180.0
-4.3%
€150 17.6%
€m
€100 €88.5
-0.4%
1.8%
€50
€9.1
€0
Exotic Fruit Protected Fruit Top Fruit Other
Source: Retailer Data 52 w/e 18th November 2019
When comparing with standard fruit, the under-representation of protected fruit
and top fruit in organic is further evident, especially in protected fruit which
accounts for 36% of standard fruit sales but less than 1% of organicOrganic Grocery Retail Market, Fruit ROS Performance,
Ranked by Value ROS, 2018-2019
Number of
Indicative Value Indicative Units
Total Market Sales 2019 weeks with
Top Fruit ROS/ Store/ Week ROS/ Store/ Week
Sales
52 weeks to 18th November 2019 2019 2019 2019
Apple €4,491,931 €71 31 52
Pear €1,069,791 €67 24 52
Number of
Value ROS/ Store/ Units ROS/ Store/
Total Market Sales 2019 weeks with
Protected Fruit Week Week
Sales
52 weeks to 18th November 2019 2019 2019 2019
Blueberry €72,098 €25 9 33
Strawberry €16 €1 0 1
Source: Retailer Data 52 w/e 18th November 2019
Availability is an issue for key lines such as Blueberries and
Strawberries which are not on sale throughout the year. There is also
currently poor availability of organic raspberriesOrganic Apples ROS Performance, 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Type
Tesco Organic, €2.69,
4 Pack (UK)
Imported Organic
Gala Apples
Tesco Organic, €2.19,
6 Pack (Austria)
Standard Irish Jona Aldi Organic, €1.49, 4
Gold Apples Pack (Ireland)
Total Market
Indicative Value ROS/ Store/ Indicative Units ROS/ Store/
Sales Number of weeks with Sales
Week Week
52 weeks to
Item Level
18th
November 2018 2019 2018 2019 2018 2019
2019
Retailer Own Label ORGANIC GALA APPLES 630G €2,543,488 €129 €109 62 53 52 52
Retailer Own Label ORGANIC BRAEBURN APPLES 630G (C) €843,465 €60 €70 24 25 40 48
Retailer Own Label ORGANIC PINK LADY APPLES APPROX 4 €601,407 €82 €56 34 25 26 45
Retailer Own Label ORGANIC EATING APPLE TRAY 4 PACK €503,570 €39 €49 15 18 52 52
Source: Levercliff Audits, November 2019
There were no organic Irish apples supplied in store when audited in November
The best performing organic line is the 630g organic gala apples. A variety which is
close in flavour to Jona Gold underlining an opportunity for an organic variantOrganic Pears ROS Performance, 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Type
Tesco Organic,
Imported Organic
€5.44/kg, 550g
Pear
(Netherlands)
Tesco Rocha Pear,
Imported
€4.64/kg, 580g
Conventional Pear
(Portugal)
Total Market
Indicative Value ROS/ Store/ Indicative Units ROS/ Store/
Sales Number of weeks with Sales
Week Week
Item Level 52 weeks to
18th November
2019
2018 2019 2018 2019 2018 2019
ORGANIC RIPE & READY PEARS 550G €1,069,791 €59 €67 29 24 52 52
Source: Levercliff Audits, November 2019
There were no Irish organic pears identified in the audits, highlighting a
potential opportunity to develop an Irish supplyOrganic Blueberries ROS Performance, 2018-19
Ranked by Value ROS 2019
Retailer/
Dunnes SuperValu Tesco Lidl Aldi Centra
Type
Lidl Organic,
Imported Organic
€18.32/kg, 125g
Blueberries
(Argentina)
Imported SuperValu,
Keelings, €23.92/kg, Keelings, €23.92/kg, Lidl, €15.92/kg, 125g Aldi, €13.20/kg, 125g
Conventional €15.92/kg, 125g
125g (Peru) 125g (Peru) (Peru) (South Africa)
Blueberries (South Africa)
Total Market Indicative Value ROS/ Store/ Indicative Units ROS/ Store/
Number of weeks with Sales
Sales Week Week
Item Level 52 weeks to
18th November 2018 2019 2018 2019 2018 2019
2019
Retailer Own Label ORGANIC BLUEBERRIES 200G €72,098 €64 €25 22 9 7 33
NB: There were no sales of imported Organic Strawberries or Raspberries.
Source: Levercliff Audits, November 2019, Dunnhumby 104 wks. to 18 th November 2019
There is also potential to develop an organic supply of berries across
Strawberries, Raspberries and Blueberries.Customer Opportunities for Organic Fruit
Retail Foodservice Amenity
• Focus on better availability • Some demand from higher • N/A
of volume areas: end workplace catering
Strawberries (1) pulling through the supply
• Strawberries are an interest chain (4).
for further development (3) • Higher end restaurants and
independents willing to
make the effort (4).
• Aiming for top 15 product
lines to include organic
options (7).
1 – Aldi, 2 – Musgraves, 3 – Dunnes, 4 – Beechlawn, 5 – Glanbia, 6 – Aurivo,
7 – Pallas, 8 – Total Produce, 9 – Milnes, 10 – Richardsons.Summary of Organic Opportunities – Top Fruit
€2m by developing an Irish supply
Product - Size Opportunity Indicative Unit Target Average Total Retail Potential Total Volume
of the prize ROS Per Store Price Point Market Size of Foodservice (Retail &
based on 1 line Per Week the Prize Sales @ 10% of F/service)
Retail
Irish Apples 30 €2.46 €1.1m 28,010 kg 308,108 kg
280,098 kg
Develop an Irish
Irish Pears Supply 27 €2.79 €870k/ 19,656 kg 216,216 kg
196,560 kg
Key Opportunities
Displace imported supply of Apples and Pears
Whilst also improving availability of organic ApplesSummary of Organic Opportunities – Soft Fruit
€1.3m by developing Irish Supply
Product - Size Opportunity Indicative Unit Target Average Total Retail Potential Total Volume
of the prize ROS Per Store Price Point 30% Market Size of Foodservice (Retail &
based on 1 line Per Week Premium vs the Prize Sales @ 8% of F/service)
Non Organic Retail
Strawberries 12 €3.34 €521k 2,833 kgs 30,596 kgs
227g 28,330 kgs
Raspberries 12 €2.13 €332k 1,950 kgs 21,450 kgs
125g Develop an Irish 19,500 kgs
Supply
Blueberries 125g 16 €2.41 €501k 2,600 kgs 28,600 kgs
26,000 kgs
Key Opportunities
Displace imported supply of Blueberries
Developing a supply of organic Raspberries and StrawberriesKey Points for Bord Bia
• Organic represents a clear opportunity for suppliers but much will depend
on quality, pricing and volumes to be able to capitalise on demand
• Top Fruit is the more established market for organic produce and
potentially more attractive
‒ Apples represents a better opportunity for Irish producers to achieve a
higher premium vs standard
‒ There is only a small organic premium for pear currently which potentially
restricts the opportunity to displace the imported line for an Irish producer
• Organic Soft Fruit is currently not as well developed, pricing is likely to be
difficult to achieve especially for smaller suppliers
‒ Organic blueberries can be competitively priced vs standard blueberries
197Themes, Initiatives & Opportunities
The importance of local
Retail
Local foods are a visible way to Product functionality, availability
demonstrate support for the local and price is king, apart from
economy, and differentiate from some key lines (potatoes), local
Foodservice
competitors. produce has to fight a tough
battle with imported produce
253Changing Growers’ Mindset
• To maximise opportunities in the retail sector,
farmers need to be encouraged to embrace
change.
• A more collaborative approach with supermarkets
is required along with investment in their business
and processes.
• One of the industry experts referenced the need
to embrace the ‘Who Moved My Cheese’
philosophy, encouraging horticulture producers to
utilise schemes such as ‘Plan to Grow’ and
embracing new ways of growing and working in
partnership with current and potential customers.
Source: Who Moved My Cheese, 1998
254Develop Producer Brands
• The presence of consumer facing brands was
recognised by as a way to help retailers tell a
clear producer story, allowing consumers to
connect with the producer, and adding value to
the product.
• There are strong learnings from Amenity
producers with ‘Bella Bloom’, and Flynn’s
Tomatoes.
255Stimulate Foodservice Demand
• Foodservice suppliers expressed a concern that a
significant recent increased use of ‘Procure Wizard’
was negatively impacting demand for local produce.
Increasingly, companies are purchasing purely on
price comparisons, without valuing the origin of
products.
• Some larger blue chip companies, sustainability
focused companies and high end restaurants are
keen for local and organic, but they need nurturing.
• There is a view that the public sector has an
opportunity to lead by example,
256Committing to Foodservice
• Foodservice companies identified there is customer demand for Irish origin in some
key products which command a price premium (i.e. Strawberries & Tomatoes), but
that gaining consistent supply was challenging.
• They recognised that foodservice is often a second choice to supplying retail
multiples, and that there were some large opportunities if growers were willing to
work in partnership directly with companies. Foodservice companies are willing to
commit to flat prices across the season which could enable longer term planning.
• Utilising Foodservice as a ‘clearance of surplus’ will only yield low prices and
inconsistent supply
257Learning from Mushrooms
• Industry experts thought that the wider
horticulture industry could take learnings
from the successful Mushroom Industry.
• Adopting technology that
facilitates cost effective production
• Developing solutions for the UK
and wider export markets as the
Irish market is too small to justify
large-scale investment for some
sectors.
258Increasing Producer Organisations
• Industry experts consider there to be an
opportunity for more producers to form
Producer Organisations. Existing
organisations are gaining significant value
from sharing information and resources.
• Examples include:
• Sharing a full time technical resource
between member companies
• Negotiating contracts with retailers as a
collective
259Encouraging New Entrants
• A chronic shortage of new entrants into horticulture
is limiting growth and aspiration in the industry.
• Succession planning is an issue for existing
operators, as the next generation is not always
adopting the farm operations.
• Apprenticeships, training programs have a poor
uptake and need stimulus. Those entering programs
typically are already within the industry via parents’
businesses.
• The industry needs to be more dynamic and
attractive to younger entrants.
260Fixing Staff Shortages
• To significantly grow, the industry will require migrant
workers as there are insufficient, willing, local workers
• Next wave of migrant workers with correct work ethic
who are willing, and incentivised to stay for an entire
growing season.
• Accommodation shortages a limiting factor, and
growers need assistance to develop plans.
• Brexit: 2021 immigration policies may act in Ireland’s
favour with the UK policies likely to be tighter for
unskilled migrant workers.
261Embrace Incremental Gains
• Product opportunities are likely to come
from marginal gains across multiple
product areas rather than totally new
crops or solutions.
• Extending the growing seasons, even
marginally, could create significant
opportunities.
• Encouraging growers to take a ‘category
view’ of their product area, identifying
specific opportunities and planning
The Chinn family have successfully extended the
accordingly will yield growth. British Asparagus season with the use of poly tunnels
262Maximising Protected Crops
• Opens a wide range of possibilities.
• Cost of production will likely be higher than
abroad, so although there are opportunities,
more premium lines are the likely focus
• Utilising ‘waste heat’ can be a way to make
production economical, but the heat
requirements will be different for different
types of crops.
• Extending the season with early crops of
Strawberries or Raspberries, or increased
production of vine tomatoes are key
opportunities.
263Focus on Premium Crops
• Irish produce is fairly well represented across different
product types.
• Future opportunities are likely to come from products
where consumers perceive there to be added value in it
being grown in Ireland:
• Supporting jobs and the economy (circular economy)
• More sustainable (improved growing techniques / organic)
• Better quality (fresher, better taste or performance)
• Innovative (flavours, appearance, varieties etc)
• Benefit from being ‘fresher’
264Below-Cost Selling
• Produce has become a ‘battle-ground’ among
large retailers, with key product lines becoming
highly commoditised.
• There is a viewpoint from industry experts that
this ‘below-cost’ selling practice should be
banned as it is eroding the value of Irish grown
produce.
265Quantifying ‘Sustainability’
• There were suggestions that producers need to
exploit Irish horticulture that is more sustainable
than imported produce.
• Communicating this to consumers on-pack could
be a way of encouraging consumers to opt for
more sustainable options.
• Dunnes have employed a sustainability manager
who is keen to work with suppliers to develop
more sustainable solutions.
266Anticipating the Organic Boom
• Research suggested that consumers who have fuelled the rise in demand for plant-based foods will
turn their attention to sustainability in the future. They are likely to want pesticide free foods as they
opt for ‘cleaner’ and more sustainable products. While organic may be the simplest option for them,
there is potential for a new ‘hybrid’ of unsprayed crops using integrated pest management (IPM).
• Both Retailers and Foodservice companies expressed an interest in organics, recognising it is still
relatively niche at present. Most retailers saw organic as a key growth area, with consistent double
digit growth over 4 years. Comments included “We’re willing to consider anything organic”, However,
also some caution “The organic price premium has been eroded, we’re keen to hear proposals on
how varieties would command a premium.
• There were suggestions that the support for new entrants via schemes such as freeing up farm land
and encouraging organic conversion via the Organic Farming Scheme, new supplier programs and
advisory support could stimulate organic production. Retailers do not think there is sufficient land
available for Organics at present.
267Bord Bia Quality Marks
Retail Foodservice Amenity
• It’s effective, but perhaps more • Don’t actively use it • Recognition has grown, but
relevant on Meat than produce. (2) unless it’s on products it’s more relevant on food
• They insist that suppliers use it. purchased. Would add products than plants. Carbon
Would like to see more activity to complexity. (9) emissions more important,
support its use in amenity • Their customers don’t could that be integrated in
products, not just beef, lamb and ask for it, but it gives some way? (6)
eggs. (1) peace of mind when • Consumers know the mark,
• Activity needs to be more sourcing suppliers. but using a supplier brand is
coordinated, i.e. promote produce preferable. The farm story is
at the right time of year when it’s in more important. (5)
season. (3)
1 – Aldi, 2 – Musgraves, 3 – Dunnes, 4 – Beechlawn, 5 – Glanbia, 6 – Aurivo,
7 – Pallas, 9 – Milnes, 10 – Richardsons. 268Opportunities – Indicative Timescales
2020 2021 2022 2023 2024
Potatoes Queen / Baby
Vegetables – Field R Onion / Cauli / Broc / Organics
Cabbage / Beans / Asparagus
Vegetables – Garlic Tomatoes / Cucumbers / Peppers
Protected (Poly) (Glass)
Fruit – Field Cherries Apples /
(Poly) Pears
Fruit – Protected Strawb / Rasp / Blueberries
Organic Strawb / Rasp Apples /
/ Blueberries Pears
Amenity Cut Flowers
269Thank you for Listening
270You can also read
