Agriculture and Agri-Food Canada
Symbol of the Government of Canada
Skip to content | Skip to institutional links

Common menu bar links

Home > Agri-Food Trade Service > Market Information > Europe

Institutional links

Left-hand Menu

Agri-Food Trade Service

Browse by Type

Stay in Touch


Agri-Food Trade Service

The Austrian Organic Food Sector Profile1 - The Embassy of Canada to Austria

May 2010

Contact:
Mr. Roland Rossi
Trade Commissioner
Vienna, Austria


1. Sector Overview

Austria boasts one of the most modern and successful economies in the European Union, despite having one of Europe's smaller populations with only 8.4 [1] million people. Since its accession to the EU in 1995, Austria's GDP has grown to a resounding 277.17 billion Euro (2009) [2], with the 4th highest GDP per capita in the EU-27 at 30,000 Euro [3]. Austria continues to be a strong and stable country.

With an annual turnover of 55 billion Euro in 2006, the Austrian food industry contributes 14% of the annual GDP and offers 27.125 jobs. [4]

The organic sector is growing swiftly in Austria, making the country one of the world's leaders in the number of organic farms per capita. One of the reasons for the success of organic products is that Austrian's strongly oppose genetically modified products. The percentage of land now being farmed organically in Austria amounts to 13.4% (372,026 hectares) [5], a world record. In 2007 nearly 20,000 organic food companies were counted in Austria. Until 2010 Austria would like to defend its rank as an organic-market-leader and increase the national organic-area of cultivation up to 20%. [6]The produce of Austria's organic farmers currently brings in sales of approximately 500 million Euro[7]. This is 4.4% of total sales in the food sector. 70% of sales are generated in the food retail, 10% farm gate, 12% HRI (hospitality, restaurants, institutional), and 8% exports.

Between the years 2003 and 2006 the organic-food-cunsumption has increased more than one third in Autria. Today more than 87% of the people decide reguluary to buy organic fresh products. [8]In an average, organic products are appr. 30% more expensive than traditionally grown comparatives. Interestingly enough, even disconter started to offer more expensive organic products – with success. Currently 27% of all goods are sold as organic products. An enquete emphazises that in particular young families and people with a higher degree of education make the main cunsumers of organic products. [9]
The most popular organic products are [10]

  • Dairy and dairy products 43% (14,2% of the entire stock)
  • Fruits and vegetables 27% (12,7 of the entire stock  
  • Meat and meat products 14%(4,2% of the entire stock  
  • Eggs 11%(> 20% of the entire stock)

The demand for organic products in the HRI sector is growing and even with the expansion of Austria's organic acreage, imports account for roughly 30 percent of organic foods consumed. The primary organic suppliers are the Netherlands, France, Germany and Italy. Fruits and vegetables are the most popular organic imports.

In February 2010 the European Commission has presented their new EU-organic-symbol. Regarding the message transferred it can only mean two things: the green background stands for "organic", the stars, a well known symbol for the Union. By July 2010 this symbol has to be used for all within the European Union produced and the high warranties fullfilling organic-foodstuffs. [11]

The production of organic products is worldwide consistently growing, whereas the consumption of those is concentrated in the Industrialized World, in particular Northern America and Western Europe. [12] The value of the worldwide organic market was estimated 23 bn. US Dollar in 2004. [13]


2. Market and Sector Challenges (Strengths and Weaknesses)

The main distribution channels for imported organics are direct imports by supermarkets, imports by a wholesaler under contract with a supermarket and specialized importers. The specialized organic importers often supply natural food stores, organic shops and health food stores. Most specialized importers are either subsidiaries of German importers or operate directly from Germany. Conventional importers have a very limited share of the organic food market, but their interest is growing. The large retail chains, all of which have their own organic labels, dominate the Austrian organic market. Perhaps unique to Austria, retailers focus their marketing resources on organic foods to shape the overall image of the chain. In short, organic foods are promoted to build consumer confidence in all products the food chain sells.

The Autrian trade profits significantly of the organic-food-boom which has occurred on the last years. In the meanwhile noone of the big food and beverages tradeholders could resign on their own "organic-food-products". Today 64% of the all-organic-trade-market reach the consumers by organic food. [14]

In 2009 more than 90 tons of organic-food-products were sold on the national markets. With a value of 202 million Euro that means that a 5,7% quota of all fresh food products. [15]

Although Europe is largely self-sufficient in organic production, there are some opportunities for overseas organic exporters. Demand for dried fruits and nuts, mostly as ingredients for cereals or dried fruit and nut mixtures, is steadily rising. Austrian production of dried fruits and nuts is limited to apples and walnuts. Other organic products with good prospects include pulses, berries, popcorn, chocolates and snack foods.

Fish is also going to play a major part in the organic food industry's future. As of today there are no recognized standards for organic fish of more than regional scope, however, the MSC (Marine Stewardship Council) has developed an environmental standard for sustainable and well-managed marine fisheries. It uses a product label to reward environmentally responsible fishery management and practices. Fish and seafood account for nearly one percent of overall Austrian food sales. Increasing consumption because of growing health consciousness and high seasonal demand - during Christmas for example - have lead to a strong increase over the past years. As Austria has no access to the sea it is particularly dependent on imports.

Canadian organic exporters seeking to enter the market should use Austrian importers to apply for permits. Provincial governments in Austria issue these permits, which authorize importers to bring in and sell foreign organic products. The permit application has to be accompanied by documentation on the equivalency of standards and control measures. The producer and exporter must be certified in accordance with EU procedures. In order to be able to sell produce labelled as organic (in Austria referred to as "bio") it has to be approved either by the EU or by the AMA (Agrarmarkt Austria), both of which award different signs of certification. Today, many overseas organic products sold in Austria clear customs in another country (often Germany) and are then shipped to Austria for sale outside of Austrian import procedures.


3. Sub-Sector Identification [16]

Agriculture, Food & Beverages

  • Dairy & poultry products
    • Eggs, not in shell
  • Grains/seeds/special products
    • Grains
    • Oilseeds/fruits/grains
  • Horticulture
    • Edible fruits and nuts
  • Meats & Meat By-Products
    • Beef, veal and by-product
    • Other meat & meat by-products
  • Processed Food & Beverages
    • Jams, fruit jellies or paste
    • Other beverage products
    • Processed food/ beverage
    • Soups, sauces, gravies
    • Sugars and syrups

Fish & Seafood Products

  • Fish/crustaceans/molluscs etc
    • Fish/frozen/not fillets
    • Fish fillets & other fish meat
    • Crustaceans
    • Molluscs
    • Fish, smoked
  • Processed fish and shellfish
    • Processed fish/ caviar

Canadian Government Contacts

Embassy of Canada in Vienna
Contact: Susanne Schmidt-Knobloch
Email: susanne.schmidt-knobloch@international.gc.ca
Website: www.tradecommissioner.gc.ca

Foreign Affairs and International Trade  Canada
125 Sussex Dr.
Ottawa, ON K1A 0G2
Website: www.tradecommissioner.gc.ca

Market Research Centre (TMR)
Contact: Dominique Kowlessar, Senior International Market Analyst
Email: dominique.kowlessar@dfait-maeci.gc.ca

Market Support Division (TMM)
Contact: Chris Moore, Trade Commissioner
Email: chris.moore@dfait-maeci.gc.ca
Website: www.tradecommissioner.gc.ca


Useful Internet Sites

Austrian importers of organic products already carrying Canadian products:

Marap Handelsgmbh
Thomas Sekelez
Nordbahnstrasse 36/0.4
1020 Vienna, Austria
Tel. +43 1 8972999
Email: t.sekelez@marap.at
Website: www.marap.at

EP-Naturprodukte AG
Friederike Geppert
A-6300 Itter 300
Tel: +43-5332-756 54-32
Fax: +43-5332-756 54-80
Email: friederike.geppert@verival.at
Website: www.verival.at

Organic Food Webforum
Website: www.organic-world.net

On Austria (country and market information from Canadian and other sources)

Business information on the food industry


Country sites


Key players in the industry


Canadian Sources

[1] www.statistik.at/web_de/statistiken/bevoelkerung/bevoelkerungsstand...
[2] www.wko.at/statistik/prognose/bip.pdf
[3] europa.eu/abc/keyfigures/qualityoflife/wealthy/index_de.htm
[4] lebensmittel.lebensministerium.at/article/articleview/54758/1/8140
[5] www.forstnet.at/article/articleview/75225/1/8286/
[6] land.lebensministerium.at/article/articleview/63118/1/4955
[7] Bio Austria
[8] RollAMA Motivanalyse 2007.
[9] land.lebensministerium.at/article/articleview/36028/1/8286
[10] See 10.
[11] www.land.lebensministerium.at/artivle/artivleview/81143/1/1465
[12] www.forstnet.at/artivle/articleview/38478/1/12219
[13] FiBl – Forschungsinstitut für biologischen Landbau, 2004.
[14] Lebensministerium. Webpage. (Verweis auf: Bio Austria).
[15] See 10.
[16] Der Außenhandel Österreichs 2008. Teil 1 – Serie 1.

1.  The Government of Canada has prepared this report based on primary and secondary sources of information. Readers should take note that the Government of Canada does not guarantee the accuracy of any of the information contained in this report, nor does it necessarily endorse the organizations listed herein. Readers should independently verify the accuracy and reliability of the information.

 

Date Modified: 2010-11-23

Top of Page
Important Notices