The greengrocer's market - Italy

The global fresh fruit and vegetable market has demonstrated robust growth in recent years. Despite the impact of the COVID-19 pandemic affecting supply chains and altering consumer behavior, the sector has shown resilience. The market was valued at US$144 billion in 2022 and is projected to rise to $210 billion by 2028, with a CAGR of 5.14%. The European segment, especially Italy, plays a significant role in production, with Italy and Spain combining for 42% of European output. Italy is particularly notable with around 10 million tons of fruit and 7 million tons of vegetables produced recently, with a significant export market focused on Germany, France, and Austria. The pandemic has led to a mix of effects on the market, including a temporary increase in consumer prices for vegetables and shifts in labor availability and consumer preferences. Despite these challenges, the sector is recovering, and growth is partly driven by an increased focus on health, the rise of veganism and vegetarianism, and a rich variety of produce.

Trends and Dynamics in Italy's Fresh Produce Market

Italy's market for fresh produce has exhibited stability with signs of growth, particularly within the retail segment. The nation stands as a European leader in the cultivation of fruits and vegetables, a sector deeply rooted in its cultural traditions and culinary heritage. The Italian early fruit market comprises the harvesting and commercial distribution of fresh fruits and vegetables, dominated by a vast number of small to medium-sized farms and retail establishments. Recent years have seen a notable increase in the production of fresh produce, with the country accounting for a significant share of Europe's output. Specifically, the fruit and vegetable market has remained fairly steady, with a marginal climb of about 0.96%, whereas the retail trade in specialized establishments witnessed a more pronounced growth of 13.08%. In particular, Italy's fresh fruit and vegetable wholesale trade was estimated to be worth around €24 billion in 2020, underscoring the segment's economic significance.

Organic cultivation has surged in popularity, reflecting a broader consumer trend towards health-conscious and environmentally sustainable choices. This movement has been propelled by various drivers, including a growing middle-class demographic, rising disposable income, and the increasing prevalence of veganism and vegetarianism. Notably, demonstrating the sector's vitality and adaptability in meeting changing consumer preferences. Italy's robust export activity, particularly to neighboring European countries, underscores its key role as a producer within the region. The country is predominantly a net exporter of fruits and vegetables, with notable trade surpluses recorded in recent years. Exports have followed a positive trajectory, witnessing a growth of around 24.1% over five years for vegetables. This upward trend has been complemented by an upswing in the sale of organic produce, an area that has garnered increased attention both domestically and internationally. The COVID-19 pandemic introduced mixed effects on the fruit and vegetable market. It led to a surge in prices caused by supply disruptions, with consumer prices rising approximately 10% for fruits and 5.4% for vegetables. The lockdown also resulted in a significant loss of revenue due to the sharp decline in sales of fresh food. However, some product categories like citrus fruits experienced a surge in demand, reflecting shifting consumer habits during this period. As for consumption patterns, Italians exhibit a high intake of fruits and vegetables, with a majority consuming these items at least once a day. Older populations show a greater tendency to consume vegetables.

Key Players in the Italian Fruit and Vegetable Sector

Navigating through the fruit and vegetable landscape in Italy, we observe a diverse array of companies that serve as pivotal contributors to the market. These key players range from specialized retail fruit and vegetable traders to wholesale juggernauts and dynamic non-specialized food retailers, each bringing their unique strengths and offerings to the table.

Specialized Retail Fruit and Vegetable Traders : These companies shine in providing consumers with fresh, high-quality produce through specialized establishments that cater directly to customer needs.

• Vignaioli Piemontesi: This company embodies the rich wine and food culture of the Piedmont region, offering a selection of fresh fruits and vegetables that highlight the regional specialties.
• Centrofrutta: With a commitment to quality and freshness, Centrofrutta has made a name for itself in the retail sector, supplying a variety of fresh produce to meet consumer demands.
• Maxifruttal: As a player in the specialized trade, Maxifruttal brings to the market a colorful assortment of fruits and vegetables, paying attention to the nuances of consumer preferences.
• Trischitta: Trischitta prides itself on delivering a range of produce that is both fresh and seasonal, catering to the traditional Italian palate.
• Aldo Panozzo: This company focuses on delivering high-quality produce with a personal touch, underlining the importance of customer satisfaction in the specialized retail fruit and vegetable sector.

Non-Specialized Food Retailers : These retailers operate on a larger scale and contribute significantly to the distribution of fruits and vegetables alongside a broader array of grocery items.

• Coop Italia: As one of the giants in the Italian cooperative retail scene, Coop Italia offers an extensive range of food products, including fruits and vegetables, to a wide consumer base.
• GS (Carrefour): The global supermarket chain Carrefour, operating under the name GS in Italy, provides a vast selection of produce, serving as a key player in the accessibility of fresh fruits and vegetables.
• MD: With its strong presence in the discount store market, MD makes fruit and vegetable purchases more affordable for the cost-conscious consumer.
• Spesa Intelligente (Eurospin): As a leading discount supermarket, Eurospin employs a smart shopping approach that includes offering a variety of fresh produce at competitive prices.
• Maxi Di: The supermarket chain Maxi Di combines variety with value, making fresh fruits and vegetables available to a broader section of the Italian populace.

Inforamtion

• Number of pages : 30 pages
• Format : Digital and PDF versions
• Last update : 11/07/2023

Summary and extracts