Demand for Organic Foods in Germany Reaches Record High

Consumer interest in organic foods in Germany is experiencing unprecedented growth, with sales figures projected to reach new heights this year. According to recent research by the Baden-Württemberg Cooperative State University in Heilbronn, revenues from organic groceries are expected to rise by approximately 10 percent, totaling around 18.7 billion euros. This anticipated increase would surpass the previous year's record, marking a significant milestone for the organic sector.

One factor contributing to this upward trend is a shift in consumer purchasing behavior. As inflation rates ease, shoppers are displaying less price sensitivity, opting more frequently for organic products. However, studies indicate that while organic sales are rising, there is no substantial evidence of a broader shift toward sustainability as a primary motivator.

The majority of organic food purchases take place within the traditional food retail sector. Discount retailers hold a slight advantage over supermarkets in terms of market share. Over recent years, both types of retailers have expanded their organic product ranges significantly. Additionally, drugstores have emerged as an important sales channel for organic products, recording the highest proportional growth in organic sales since 2021. In contrast, specialty organic stores account for only about 10 percent of total organic food spending.

Despite the robust market expansion, the share of organic food in overall grocery sales remains comparatively modest. By the end of the year, it is forecasted that organic products will constitute just under seven percent of total food sales. Nevertheless, the organic segment is growing at a much faster rate than the general food market.

Private label organic products are becoming increasingly popular among consumers, with store brands representing nearly 47 percent of the organic sector's market share in the first half of the year. Certain categories, such as flour, oil, and dairy products from organic sources, have recorded the strongest growth in 2025. This trend reflects evolving consumer preferences and the expanding variety of organic offerings available in mainstream retail.

Market experts attribute the sustained demand for organic products to consumer perceptions of food safety and environmental friendliness. As a result, major retail chains are dedicating more shelf space to organic items, further fueling market growth.

In terms of production, the expansion of organically farmed land has been moderate. Last year, about 11 percent of Germany's agricultural land was cultivated using organic methods. However, this pace has not kept up with the surge in demand. The German government has set a target of increasing organically managed farmland to 30 percent by 2030, underscoring the need for continued investment in domestic organic agriculture to meet future demand.

The long-term trajectory of the German organic food market has been characterized by steady growth, despite a brief decline in sales in 2022. As consumer attitudes and retail strategies continue to evolve, the organic sector is poised to play an increasingly prominent role in the nation's food economy.