ORGANIC FOOD AND HEALTH

INDUSTRY

“The world has been advancing at the fastest rate ever. Taking insight of what is happening today

gives a look into the possible future of tomorrow. To be prepared for the coming scenario and plan strategically for benefits in the coming times a

need for forecast arises”

MEGATREND MAPPINGINDUSTRY OVERVIEWMAKING PREDICTIONS

EGATREND mappingM

megatrend“A megatrend is a large, social, economic, political, environmental or technological change that is slow to form. Once in place, megatrends influence a wide range of activities, processes and perceptions, both

in government and in society, possibly for decades. They are the underlying forces that drive trends”

#megatrend

MappingmegatrendWORLDWIDE ECONOMIC SHIFT

changing sizes of economies

narrowing gap between developing and developed economies

emerging markets

rise of middle class

DEMOGRAPHIC CHANGESpopulation explosion

ageing population

shrinking global workforce

fierce war for talent

immigrationincreased expendable income and family needs

SOCIAL CHANGESindividualism women empowerment

changing family structures

globalization and cultural exchange

URBANIZATIONexpanding city-scape

metro-culture

reducing agrarian practice

TECHNOLOGICAL BREAKTHROUGHaugmented and

virtual reality

big data and artificial intelligence

the internet and its accessibility

bio and nano-technologydigitization and robotics

ENVIRONMENTAL CONCERNSsustainability environmental

degradationresource depletionpollution and waste emission

3Rs

The

Megatrends in Global scenario

These megatrends are phenomenon whose effect brings about capacity change across the globe. Referring to a Megatrend study conducted by Pricewaterhouse Coopers (PwC) for Global trends across the year 2016, these five Megatrends have been laid out.

SHIFT IN GLOBAL ECONOMIC POWERThe professional services firm PricewaterhouseCoopers (PwC) has produced reports describes a dramatic shift in global economic power away from advanced economies and toward Asia and a block of faster-growing emerging economies. This is attributed to two main factors: A levelling off of the rate of expansion in China and some other major emerging economies, and a curbed rate of growth in the working age population in many large economies.

• Dynamism of sizes in Economies • Emerging Market Needs• Gapping in Per Capita Income

Prevails

DEMOGRAPHIC AND SOCIAL CHANGESThe changing socio-political agendas and commercial avenues rely greatly on the demographic constituents of the world. The last few decades have witnessed such dynamism in the demography and social situation across the globe that it has impacted almost all sectors of growth and development. The cult of these changes lies in the effect of Urbanization but before we need to look into the following Macro and Micro trends before jumping into the wrath of the changes

• Population explosion• Changing Workforce demographics• Immigration Trends• Changing Buying Scenario

RAPID URBANIZATIONToday, more than half of the population live in urban areas and 1.5 million people are added to the global urban population every week. A staggering 90% of this urban population growth will take place in African and Asian countries. In fact, for millennia cities have been our centers of activity, drivers of growth and bastions of productivity. No country has ever reached middle income status without urbanizing. Social and service-oriented impacts of urbanization will be both positive and negative

• Shift to Major cities• Rising demand of the

Cities• Challenges in

Development

TECHOLOGICAL BREAKTHROGHHistory is littered with companies that have waited out the Next New Thing in the belief that it’s a technology trend that won’t amount to much, or that won’t affect their industries for decades. Yet disruption happens. It’s safe to say that the history of humankind is a history of disruption - a stream of innovations that have tipped the balance in favour of the innovators. In that sense, technological breakthroughs are the original megatrend. What’s unique in the 21st century, though, is the ubiquity of technology, together with its accessibility, reach, depth, and impact.

• Cheaper access to technology• Globalisation of technology• Increased comfort with

technology• The competitive advantage of

technology• Multiplier effect of technology

CLIMATE CHANGE AND RESOURCE SCARCITYAs the world becomes more populous, urbanized and prosperous, demand for energy, food and water will rise. But the Earth has a finite amount of natural resources that can be used to satisfy this demand.

• Depleting resources• Interdependent and inter-

connected• No longer a ‘luxury’

NDUSTRYmappingI

WHATISORGANIC?‘Simply said anything capable of breaking down into simpler forms and disseminating itself into the

environment is termed to be organic’

Organic products are produced without usage of any chemical processing. Food and Health Industry has been the largest benefactor from the concept

Organic.

AS A CONCEPTorganic

organicHEALTH CAREFOOD

ENERGYLIFESTYLE

AGRICULTURE

Medical treatmentsCosmetics MedicinesOrganic health supplements

Methods of cultivation

Raw material /seedsOrganic bio-fertilizers

Textile and clothing Home furnishing

Accessories

Gifting and decor

Jewellery Paper and stationary

Agrarian regulationsFarm output and produce

ProductionProcessing and manufacture

Branding and sales [FMCG market]

Packaging

Renewable innovationDAILY USEDyes and inks

Computing and Technology

Small scale energy harness

Increased health motivation among people

Education and awareness about

long and healthy living

Sustainability Changing lifestyle

Ample amount of product availability in

the market

Strong support from government to moving towards organic

FOOD & HEALTHINDUSTRYorganicRISE OF in

organic culture have been started in 130 countries of the world, published in the World Of The Organic Agriculture (report 2009)Currently 32.2 million hectares of agriculture land are managed organically and the value for organic foods in global market $26 billion US dollars and is expected to grow to 102 billion US dollars in 2020.

The impact on world

The impact on India

Consumer demand for organic products has been growing by double digits each year since the 1990s Sales of organic food have grown by 20 % annually.

Baby foods and dairy productsOrganic fruits and vegetables

Other products include bread, meat, poultry, packaged food and even

condiments.

The Organic Lifestyle • The trend is largely

accepted by the health conscious community who are in best capacity to pay for such services.

• Organic food has become a popular FMCG with huge market share. With a large group of aged population and high risk of environmental related disorders amongst the population,

• So altogether healthy organic options are gaining potential to become a lifestyle.

Agrarian Shifts• Foreseeing a major growth in

the organic sector a number of farmers are emerging with success stories with shift to organic agriculture, hence motivating many others to join in.

• India is one of the largest Agrarian Economies of the world and one of the most important suppliers of organic food to the developed nations with area of 2.5 million hectare including certified areas.

• European farmers too have since 1992 been eligible for government-financed "green payments" that ease the costs of the transition to organic production.

Booming non-food organic products• Organic personal care

products like shampoo, lotion, lip balms, etc., as well as organic linens and other non-food items exceed $3 billion in sales alone. 

• There is need to keep up with demand for nutritious, pesticide-free food and personal care products.

Awareness and Encouragement to Organic• People are tired of

paying top dollar for processed, toxic food and other products, and they are voting with their wallets.

• Many people are opting to cut out the middle man and go straight to the organic farmer and hand-crafted items.

• Participation in co-operatives

• Huge support from Government.

Consumer Shift to Organic• Consumer demand for organically produced

goods continues to show double-digit growth.

• Middle and Upper Income class are the main consumers of the organic products.

• A study shows majority of the buyers of organic products are in the age group of 30-50 years.

• Women are more likely to buy organic food than men.

• The trend of organic product purchase is more prevalent in developed countries.

• Organic products have shifted from being a lifestyle choice for a small share of consumers to being consumed at least occasionally by a majority of Americans.

Increasing Organic Exports• Nearly three dozen

organic exports, mostly fresh fruits and vegetables, tracked by the U.S. Census Bureau, saw more than a half a billion dollars in export sales.

• In India, around 85% of the country’s organic products produced are being exported, as these products bring greater revenue (priced 20-30% higher) as opposed to inorganic products in the world market

REDICTIONmappingP

PREDICTIONS IN ORGANIC FOOD

AND HEALTH INDUSTRY IN2030

Organic In MonopolyOrganic product will take itself in to

storm in terms of sales, production, demand and availability by 2030.

Production amount, variety and options of products will be more

Larger organic production, from farm acreage expansion to processing facilities, will translate into organic becoming more accessible round the globe

Organic meets Sustainability

Impact on biodiversitySoil and water conservation

Also will address other categories like dietary supplements, pet food, personal care, cleaning supplies, fiber and flowers

Each farm and company’s environmental impact will be under more scrutiny

Technology in Organic Industry

Organic food and processing industry shall amalgamate with the technological upsurge

Artificial intelligence has great potential in becoming a sustainable guide for organic culture for producers, manufacturers and consumers.

Organic in 3D PrintingAs per the technology acceptance

patterns, by 2050, 3D printing shall be as accessible commodity to the world as cell phones todayWith quick and custom printing options, it also opens the door to sustainable food production and therefore tune up with individual needs and preferences.

PREDICTIONS IN ORGANIC FOOD

AND HEALTH INDUSTRY IN2050

Organic Food and Health

SupplementsSince health has become a priority status, there is a possible future of body requirements provided through organic supplements chips and tablets

They may be good source of balanced nutrition and satiety with no effort of preparing food

Health and ProstheticsConcepts of 3D printing, organic production, sustainability and nano-technology shall soon be seen in developing prosthetics and artificial organs.The idea of placing individual human cells in a precise pattern to replace a damaged jaw, missing ear or scarred heart muscle holds much promise.

CONCLUSIONOrganic will be the conventional agriculture of

the future, not because of wishful thinking or because it is the right thing to do

The growth of the huge market share of organic products reveals a large segment of opportunity for upcoming businesses in the segment. The future, which is coming faster than most of us appreciate, will be organic.

Thanking YouHarshita Hajela Dharaga Selvi Ashwini Krishna Ratiranjan Sahoo Antony Sindhiya