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CBI Trends:

Processed Fruit and Vegetables


(including Edible Nuts and
Dried Fruits) in Europe

CBI | Market Intelligence

Product Factsheet Cloves in Germany | 1

Introduction
The most remarkable trends in the past year involve the increased demand for superfruit products and the increased
pressure by retail chains for supply of products with Corporate Social Responsibility (CSR) certification. Another important
trend for the coming years will be an increase in the consumption of functional food, natural products and organic
products. New flavours are developing on the EU market, and EU importers are facing increasing pressure from retail
chains to supply only CSR-certified products. Food-safety and labelling requirements are becoming stricter, and social
media are becoming extremely important in food marketing.

Trends
Added-value products (functional food): Although fruits and vegetables are considered healthy, consumers tend to
perceive processed fruits and vegetables (PFV) in a less positive light. Although consumption has decreased in several
product categories (see Trade Statistics), there is a demand for products with the addition or absence of certain
ingredients. Examples include sugar-free or gluten-free products and products fortified with probiotics or calcium. The
consumption of PFV products with added sugar is decreasing, although consumers still tend to accept products containing
natural sugar (e.g. dried fruits and jams sweetened with fruit juice). While older generations still tend to regard fruit and
vegetable juices as healthy products, younger generations tend to perceive them as unhealthy, due to their high sugar
content. Another reason for the decrease in the consumption of fruit juices has to do with the increase in the consumption
of other types of drinks, including flavoured water or energy/sport drinks with flavours of guarana or guanabana (soursop),
cider and coconut water. The consumption of many PFV products that are specifically useful for certain health problems is
increasing on the EU market. Examples include products associated with reducing cholesterol, weight control, reducing
blood pressure, promoting digestion, benefitting the heart/circulatory system, controlling diabetes and strengthening the
bones/joints.
Tips:

Exporters from developing countries can adjust their production processes and meet market demand
by substituting natural forms of sugar for processed sugars as sweeteners or preservatives. This is
especially applicable to certain types of dried fruit, canned fruit, jams and fruit preparations for the
bakery industry.
Exporters from developing countries can diversify their range of PFV products in order to respond to
health trends in the EU and to enter niche markets other than the packing or processing industries.
Examples include various products in powdered form for the pharmaceutical or food-supplement
industry.

Natural products: The demand for products without artificial additives, products made from whole fruits and products
with natural fermentation has increased within the EU market. These trends can also explain the increasing consumption of
not-from-concentrate (NFC) juices. The production of homemade juices is also increasing, and many small producers of
fruits produce juices only for their own households, thus influencing consumption of industrial juices. Dried fruits and
edible nuts are also gaining in popularity on the EU market, with an annual increase of 3%-5% in home consumption, due
to the reputation of healthy snacks and similar products.
Tips:

When possible, exporters from developing countries can offer PFV products as preservative free, thus
enhancing their perceived value and meeting the demand for natural products.
In the juices segment, exporters from developing countries can respond to market demands by
offering specific NFC and cold-pressed juices. Specific opportunities for NFC juices exist within the
superfruit juices segment, given the high level of competition in major categories (orange, apple and
pineapple) and the high level of market concentration from Brazil, China, Poland and Thailand.
Canned vegetable products preserved through natural fermentation processes are in demand.
Exporters from developing countries would therefore do well to explore the EU market further with
regard to the potential of these products.

Superfoods: The term superfood (or superfruit) is a marketing term used for some fruits and vegetables that have
additional nutritional value (e.g. high antioxidant content). The outlook on the EU market is positive for some types of fruit
belonging to this category. This trend can explain the increased import and consumption of frozen berry fruit (see Trade
Statistics), although consumption has decreased for some other categories of PFV. Frozen berry fruit also offers consumers
the opportunity to make their own smoothies and NFC juices. In addition, industry players foresee decreases in the

CBI | Market Intelligence

Trends for Processed Fruit and Vegetables (including Edible Nuts and Dried Fruits)in
Europe | 2

consumption of fruit juices, accompanied by increases in the consumption of vegetable juices and mixtures with such
ingredients as beetroot, carrots, spinach and lemongrass.
Tips:

Superfruits and especially frozen and dried berry fruits offer many opportunities for exporters from
developing countries. It is particularly important to conduct laboratory testing for residue levels before
exporting, due to a number of market alerts regarding superfruits with pesticide-residue levels
exceeding official EU limits.
Some forms of superfruits offer opportunities for market segments involving food ingredients and
nutraceuticals. Examples of products that can be sold in powdered forms include acai berry, acerola,
camu camu, lucuma (sweetener) and sea buckthorn.

Organic products: The demand for certified organic products is increasing, and this trend is likely to continue in the
coming years. In addition to organic certification, the organoleptic characteristics of products are quite important, and
consumers expect organic products to taste better than conventional products do. On average, 24% of all European
consumers are familiar with the new EU Organic logo which has been fully up and running since 1 July 2012. However, the
forerunner - and former national labels are more widespread among consumers.
Tips:

Exporters from developing countries should take advantage of opportunities in the rising demand for
organic products. It is very important to apply good technological processes in production, as
consumers expect to observe a difference in the taste of organic PFV, as compared to conventional
products.
Before investing in organic certification, it is very important to assess the acceptance of certification
companies by EU importers, in order to avoid double certification and additional costs.

Products of specific geographic origins: Regional branding is increasing, with some products of specific geographic origins
having a guarantee of certain quality standards. The fact that a product has been produced close to the place of residence
increases trust in that product. Trust can also be increased by the presence of geographic-origin labels, even if the product
was produced in another country. Consumers between the ages of 15 and 35 years are particularly likely to be interested
in the stories behind particular products. For example, Nestl has launched a campaign of voluntary certification of
sourcing producers.
Tip:

If possible, exporters from developing countries can use geographic-origin labels as a marketing tool.
It is important to note, however, that consumers expect premium quality when purchasing such
products.

Diversification of flavours: In the fruit juices market, demand is increasing for new flavours (e.g. rhubarb, quince and
elderflower). Tropical fruit flavours are becoming more popular as well. Examples include mango, banana, passion fruit,
acerola and acai. In the processed-vegetables segment, the consumption of pickled vegetables is expected to increase,
partly in response to the health trend, as pickled vegetables have higher vitamin levels, enhanced digestibility and antibacterial properties. This trend is also increasing the consumption of fermented foods (e.g. kimchi, sauerkraut, kombucha,
kefir and yogurt), due to their high probiotic content. According to market experts, the use of coconut as an ingredient
increased dramatically in 2014. The differentiation of citrus flavours has become a global trend for 2015, whether for
sweets, beverages or aromatic foods (e.g. sauces and snacks).
Tip:

Exporters from developing countries exporters can introduce different flavours into PFV products
according to the major trends.

Information technology and digitalisation: The Internet and social media continue to grow at the global level.
Restaurants have begun to recognise that people eat with their eyes before they eat with their mouths, and they are
taking extra care to serve aesthetically pleasing food. Smartphones and cameras have affected everything. Consumers
discover, share, make and trade food recipes, food traditions, food ideas and food products.

CBI | Market Intelligence

Trends for Processed Fruit and Vegetables (including Edible Nuts and Dried Fruits)in
Europe | 3

Tip:

Exporters from developing countries should use social media and make their products and companies
easily accessible and visible on the internet to EU importers, as well as to the ultimate consumers of
their products.

Emerging scarcity of resources: There is a general shortage of PFV on the EU market, and this trend is likely to
continue in the coming years. This shortage is particularly evident in the category of dried fruits and edible nuts, due to
the increasing demand from major emerging economies (e.g. China and India). In addition, climate and weather conditions
in the past year have influenced the world supply of nuts. Production of the majority of nut types is concentrated in a few
countries, and a poor harvest in 2014 affected the EU and the entire world market, resulting in price increases.
Tip:

The power of suppliers is increasing. Nut exporters from developing countries can use the
opportunities presented by high market demand and increasing prices to build stable, long-term
relationships with reliable EU importers in either the packing or the food-processing industry.

Corporate Social Responsibility (CSR): Trading initiatives relating to CSR continue to increase in importance, and EU
importers are facing increasing pressure from retail chains to supply only products that have been certified as responsibly
sourced in an environmentally friendly manner, in which employees are treated fairly and ethically. For example, the
European fruit-juice industry has developed a platform for integrating CSR into its business operations and core strategies.
This initiative is now spreading to sourcing countries (e.g. Brazil), with the goal of ensuring that all orange juices in the EU
are sourced from suppliers with CSR certification. Experts predict that this CSR initiative will include other types of juices
as well.
Tips:

Exporters from developing countries should be aware that, although requirements concerning food
safety and traceability are mandatory, they are no longer sufficient to build competitiveness on the EU
market. It is strongly recommended to follow such CSR-certification schemes as the Fair Trade or
Ethical Trading Initiative for the UK retail market.
Given the high cost of CSR certification, many EU importers have initiated joint financing of
certification for their suppliers. In practice, this has proven useful as a way in which EU importers can
ensure stable supply. These initiatives are offering opportunities to exporters from developing
countries who are seeking long-term cooperation.

Russian food embargo: In response to the Crimean crisis, the European Union imposed sanctions on Russian individuals
and businesses. In August 2014, the Russian government responded in kind, enacting a total ban on food imports from the
European Union, the United States, Norway, Canada and Australia. Prior to the embargo, food exports from the EU to
Russia had been worth around 11.8 billion, or 10% of the total export value. Germany and Poland stand to lose the most
trade with Russia, and the neighbouring countries of Finland, Lithuania and Latvia stand to lose a greater proportion of
their GDP. Nevertheless, the majority of PFV products do not fall under the sanctions, including frozen and canned fruits
and vegetables, jams, preparations and fruit juices. Only dried vegetables, dried fruits and edible nuts are affected (see
Trade Statistics)
Tip:

Exporters of dried fruits and nuts from developing countries should research the opportunities in the
EU market (see the report on Edible Nuts and Dried Fruit in Europe).

Emerging markets inside Europe: Eastern Europe is experiencing rapid economic growth and this is expected to
continue in the coming years. Consumers are very price conscious and some processed fruit and vegetable products (e.g.,
exotic fruit juices) are relatively new to consumers in these countries. In the short term, however, the market in Eastern
Europe is expected to remain small.
Tip:

Look for possibilities to extend export to emerging European markets.

CBI | Market Intelligence

Trends for Processed Fruit and Vegetables (including Edible Nuts and Dried Fruits)in
Europe | 4

Effects of economic crisis: There are signals that the European financial crisis has reached its lowest point. The GDP in
the Euro Area expanded 0.30% in the fourth quarter of 2014, relative to the previous quarter. In 2014, the value of the US
dollar increased, influencing trade. The weakening of the euro has had a negative influence on the cash flow of EU traders.
Tip:

The decreasing difference between the euro and the US dollar can offer a short-term opportunity to
exporters from developing countries in which the local currency is related to the euro (e.g. some
countries in West Africa). Without changing the price, suppliers from countries in which prices are
expressed in US dollars will have more expensive products.

Polarisation of retail chains: In one trend in the EU, middle-range supermarkets are decreasing, while both discounters
and high-end retail segments are increasing sharply. In the previous year, Lidl showed a 70% rise per quarter, although
Aldi faced a decrease in sales. This trend is especially evident in the UK market.
Tip:

Suppliers from developing countries should consider different sales strategies according to retail
trends, in addition to developing low-cost pricing strategies for discounters and high-quality products
for ultra-premium retailers.

Fruit juices legislation: In 2012, the Council of the EU approved new rules that will make it illegal to add sugars to fruit
juices. The claim no added sugar is no longer authorised, as all fruit juices present on the market will be prohibited from
containing added sugars. In accordance with this Directive, products placed on the market or labelled before 28 October
2013 may continue to be marketed until 28 April 2015. The statement from 28 October 2015, no fruit juices contain added
sugars may appear on labels until 28 October 2016.
Tip:

Exporters of fruit juices from developing countries should be aware of and comply with changing EU
regulations. Fruit drinks with added sugars can be labelled only as fruit nectars according to the
minimum juice and/or pure content regulations pertaining to fruit nectars.

Permanent increase of requirements: Health authorities in the EU continue to increase requirements, which are
difficult for some producers to follow. Maximum pesticide residue limits (MRL) are becoming stricter, and testing
equipment is becoming more advanced, such that they are able to detect more accurately than was previously the case. In
addition, the Food Information for Consumers Regulation took effect on 13 December 2014, and the requirement to
provide nutritional information will apply from 13 December 2016.
Tip:

Keep up to date with European rules and regulations concerning food safety, genetic modification and
phytosanitary controls (www.efsa.europa.eu). Rules can vary between countries. CBIs EU Buyer
Requirements studies could be helpful to check specific EU legislation with regard to processed fruits
and vegetables.

CBI | Market Intelligence

Trends for Processed Fruit and Vegetables (including Edible Nuts and Dried Fruits)in
Europe | 5

CBI Market Intelligence


P.O. Box 93144
2509 AC The Hague
The Netherlands
www.cbi.eu/market-information
marketintel@cbi.eu

This survey was compiled for CBI by Globally Cool


in collaboration with CBI sector expert Freek Jan Koekoek
Disclaimer CBI market information tools: http://www.cbi.eu/disclaimer
December 2015

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