04 May, 2012
The retail value of dairy products has risen for
the seventh consecutive year, stdavids-farmvets.co.uk reports.
Addressing delegates at the AHDB Outlook Conference in London,
Giles Quick from Kantar Worldpanel explained that annual spend on
dairy products rose by more than 4 per cent over the past seven
years. The industry is now thought to be worth around £10.12
billion, which equates to 12.4 per cent of all spending on food and
The news is positive for dairy farmers, as this rise is well
above the average grocery price inflation, which over the same
period was around 5.5 per cent.
These rises are thought to be from consumers happily spending
more on expensive, added value products, as opposed to simply
buying core products such as milk, cheese and butter in greater
In fact, Quick explained, sales on core products may have
declined through heavy discounting by supermarkets in order to
remain competitive. "We've seen a big switch from branded to own
label," he told fwi.co.uk, "with people buying the same sort of
stuff but cheaper."
Research also showed that consumers buy dairy products around
110 times a year and consume dairy over 1,000 times. 36 per cent of
all meals were thought to contain at least one dairy product.
Source: Vertical Leap