Demand for organic packaged food products across all packaged food categories increased in 2020 as consumers sought healthier and more natural products. In the pursuit of healthy, natural products, many consumers find organic packaged food products appealing as they are produced more naturally and without the use of harsh chemicals or fertilisers in the growing process.
During the COVID-19 health and financial crisis in 2020, several brands in organic packaged food, which is perceived as an expensive and premium category, applied aggressive promotions. These promotions were applied throughout the modern grocery retailers channel and were most heavily focused on essential items such as organic rice, organic edible oil and organic pasta.
The growing trend for organic products has been a key development for imported snack brands such as Garden of Eatin, Allrite Organic, and Beanbag which offer products such as Organic All natural Tortilla Chips, Organic Rice Cakes 5 Grains, and Vanilla Organic Mixed Nuts. The premium positioning of these products, however, means that the consumer base for these products remained relatively niche, albeit expanding, in 2020 as most consumers are health conscious middle to high income consumers.
Following the outbreak of COVID-19 in Thailand, schools and workplaces were closed in order to curb the spread of the virus. During this time, consumers turned to home cooking, not only because of the closure of foodservice outlets, but also due to the belief that home prepared food is safer in terms of COVID-19 infection.
Organic packaged food is continuing to expand in Thailand, with a number of new snack products and organic dairy products expected to emerge in the coming years. This will support the continued development of the still rather niche category, as the wider range of products and price points will appeal to more consumers in the forecast period.
Parents are becoming more concerned about the nutritional benefits of baby food products. Couples that lead busy working lives are more likely to be prepared to pay for premium baby foods to make up for their lack of time to prepare home-made meals.
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This report originates from Passport, our Organic Packaged Food research and analysis database.
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