Frozen food sales increase 2.5% to £5.7bn in 2013

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The frozen food market has again shown positive value growth – 2.5% year-on-year (yoy) – during a time when the retail industry is struggling to achieve any growth, bringing the industry’s value to more than £5.7bn.

The latest market data launched today looks at the 52 weeks to 08 December 2013 and shows that frozen food continues to show some positive signs despite a tough 12 months for the industry.

The statistics, compiled by Kantar Worldpanel, offer the first accurate indication of the impact of criminality on the food industry in the last year. Whilst some sectors of the market have had a tough year, others have excelled – with potato products seeing a value growth of 10% yoy.

Frozen meat and poultry has shown resilience in a tough climate with a 5% value and 2.8% volume growth yoy as consumers continue to see the benefits of frozen produce. Similarly, frozen vegetables have continued to see success with a 5.1% value and 1.1% volume growth.

Brian Young, director general of British Frozen Food Federation, said: “It is important to notice that these statistics are set against a backdrop of a struggling retail sector and tough economic environment. The fact that frozen food has seen any growth at all is testament to the commitment shown by brands and retailers to expanding frozen NPD.”

To further demonstrate frozen foods’ resilience, the long, hot summer in 2013 sparked an impressive year for the ice cream sector. This particular product group saw a 3.4% volume growth yoy and a 6.8% value growth yoy bringing its value to nearly £830m.

Young said: “These statistics show for the first time the full impact of criminal infiltration into the food supply chain early in 2013. A drop in both volume and value yoy in the ready meals sector shows that consumers have lost confidence in processed meats. It is vital that brands, manufacturers and retailers now start to reposition this sector and regain consumers’ trust in processed foods.”