Organic Beverages in Chile

PROSPECTS

Organic players focus on speciality grocery stores and internet retailing

The few organic beverages sold in Chile attract a sophisticated and educated consumer base that looks for premium drinks. Aware of this reality, companies try to avoid mass consumption distribution channels and focus on speciality grocery stores and internet retailing.

Low consumer awareness of organic products

Many Chilean consumers do not fully understand the meaning of “organic”. They tend to confuse organic with GMO-free, naturally healthy, home-made or free from pesticides.

Organic is not a well-known attribute for coffee products

Fresh coffee enjoyed fast retail volume and current value sales growth through the review period. Many consumers looked for beverages that supported their growing interest in ethical living and desire to try new coffee features.

COMPETITIVE LANDSCAPE

Ama Time’s success story

Ama Time launched its organic 100% juice in Chile in 2016. The company subsequently recorded exponential retail value sales growth to dominate organic beverages by 2018.

Afe sets the early pace in organic beverages

Agrícola Forestal El Escudo was the pioneer in organic beverages in Chile. The company’s Afe brand offers regular and organic 100% juice.

The category awaits the entry of major beverage companies

Concerns over the use of pesticides has seen more educated consumers demand new products that guarantee health and safety. Rooibos and other organic speciality teas are sold in Chile, but their presence remains marginal.

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