The events of 2020 and the on-going COVID-19 pandemic continue to push demand for organic and sustainable foods. Sustainability and eating healthy foods were key drivers for NPD before the outbreak and are now a key part of branding strategies. The virtues of organic and natural ingredients are essential elements that run through the DNA of companies attuned to today’s consumer demands.

And so, demand for organics and sustainable foods has renewed interest as we head into 2021. 

Sustainability came naturally during the pandemic for consumers. People cooked creatively with whatever was left in their cupboards and were conscious of waste.

Even during the pandemic, consumers were found to put premium and clean labels before price. They are willing to pay more, not just the health halo effect, but for a product that is better for people and the planet. 

With this vigor for environmental well-being and looking after all people involved in a brand’s supply chain, organic food – or food and beverages with organic values – can help build trust with consumers worldwide. 

As Innova Market Insights’ Top Ten Trend 2020 – “The Sustain Domain” – highlighted, consumers increasingly expect companies to invest in sustainability. Data shows that 85 percent of, on average, US and UK consumers expected companies to invest in sustainability in 2019, up from 64 percent in 2018. 

Plant-based proteins
And now, with the New Year on the horizon, Innova Market Insights recently released its latest trends, which reveal how “Plant-Forward” taps into sustainability and consumers’ ever-diversifying shift into more plant-based options.

As plant-based trends reach global phenomenon status, the “plant-based” definition is ever-evolving. Its rising mainstream appeal will drive expansion to different regions and categories in 2021, including accelerated demand for new formats, plant proteins and more sophisticated alternatives. 

Propelled by sustainability and animal welfare concerns, lab-grown foods have the potential to disrupt the industry by mainstreaming the use of new technologies. 

The Innova Consumer Survey 2020 indicated that the top four reasons for considering plant-based alternatives were health, diet variety, sustainability and taste. 

As consumers are powering up on plant protein, opportunities and challenges relating to regional consumer preferences and sustainability expectations attract attention.

Advancing toward cultivated meat commercialization
The overconsumption of meat from intensive, industrial livestock farming is increasingly being recognized as a serious problem. This is propelling disruption from the slaughter-free science-backed start-ups working on bringing cell-based products to commercialization. 

2020 has seen major acceleration on cultivated meat innovation, with several companies making waves in this burgeoning industry. Commercialization of cultured meat (poultry, fish and seafood) is on the horizon, with scale-up and cost issues being overcome. 

Cultivated meat and the slaughter-free movement are directly connected to sustainability, and it will not be too long before cultivated meat products are a regular sight in the foodservice industry and on supermarket shelves. 

As Innova Market Insights notes, this industry is tipped to be one of the most significant disruptors of 2021, as long as consumers take to it.

Developing sustainable dairy
Going back to the livestock industry, there has just been an interesting development from Valio, Finland’s largest global dairy cooperative company, and Royal DSM. Both are geared toward “sustainable living” and have joined forces to significantly reduce the carbon footprint of dairy production in Finland.

Known as a sustainable brand, Valio says it’s determined to improve animal and human welfare while taking active measures to reduce its environmental and climate impacts. Valio aims to make its dairy value chain carbon-neutral by 2035, citing this DSM collaboration as one of the steps to reach this ambition.

Over the past ten years, DSM has developed a feed additive named Bovaer, which reduces enteric methane emissions from cattle by 30 percent. DSM is working with partners from the dairy and beef value chain to prepare for market introduction. 

This includes joint trials to confirm effectiveness in local farming systems, co-development of low-carbon dairy products, and the establishment of business models. 

The collaboration with Valio has been pegged as a significant step toward market introduction.

The partnership demonstrates how, aside from plant-based and dairy alternatives innovation, much work continues within the livestock sector focused on sustainability and to reduce carbon emissions. 

The desire for organic and wholesome foods has never been as great as it is today. Generally, consumers perceive organic food products as healthier, tastier, and more nutritious than non-organic products – and the market is growing fast.

An organic label is more than a claim, it can offer meaningful value for consumers looking for healthy and sustainable products. 

Why are organic milk proteins the future for dairy manufacturers?
A shortage of natural, organic protein ingredients has prevented many dairy manufacturers from entering the organic market. However, there remains plenty of opportunities for dairy solutions in this space. 

During a webinar held earlier this year, Arla Food Ingredients offered valuable insights into how to make and market organic products, as well as examining the latest trends in dairy.

Dairy launches with an organic claim are showing a growing trend. According to Innova Market Insights, there was a 22 percent year-on-year growth on dairy products featuring an organic claim (2019 vs. 2018).

Meanwhile, NPD shows organic claims are making it to the front-of-pack.

The market researcher’s data also shows a 14 percent increase in dairy launches with natural claims (2019 too 2018) and that consumers pay attention to natural organic claims. 

When asked to choose the factors that most influence their purchasing decision for milk and milk drinks, during an Innova Market Insights survey, 35 percent of global consumers said “natural” while 14 percent said “organic.” 

Similarly, when asked which F&B products  are to be considered as ”clean label,”  23 percent of global consumers said “organic” while 17 percent responded with “natural”.

Last month, FrieslandCampina Ingredients spotlighted “Conscious Indulgence” as a key global trend in its latest report, followed by “Shaping A Better World” and “Experience Beyond The Imagined.” With the contours of “a new world” taking shape, the company shares its vision on wher the industry is heading in a new normal.

The report also shines a light on both macro and micro developments in local markets globally. 

“Healthier and more sustainable propositions were already growing in importance pre-COVID-19. Still, with the pandemic, we saw this trend naturally rising,” Suzanne van den Eshof, global marketing director for F&B at FrieslandCampina Ingredients, tells FoodIngredientsFirst.

“Interest in food and drinks that boost the body’s natural defenses and might offer health benefits is increasing. We also see a spike in consumers’ desire to understand what they are eating and drinking, with natural and recognizable ingredients leading the trend,” van den Eshof explains.

Sustainable coconut
FrieslandCampina was also recently among industry heavyweights including AAK, Harmless Harvest Thailand, Nestlé, Unilever and Barry Callebaut to sign the coconut industry’s first sustainable coconut charter. 

With support from the United States Agency for International Development (USAID) Green Invest Asia, the charter aims to improve farmer livelihoods, lessen the carbon footprint of coconuts, prevent deforestation and boost supply to meet rising global demand.

Earlier in the year, FoodIngredientsFirst also spoke with company representatives about FrieslandCampina’s aims to be carbon neutral by 2050. “Sustainability is no longer ‘nice to have’ – it’s becoming a license to operate,” explained Aurelie Letortu, Senior Corporate Sustainability Manager. “It’s more relevant to our customers and the consumer because it is now driving buying decisions.”