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 Consumers want good nutrition and better labelling 

Consumers want good nutrition and better labelling

06 Jul, 2009 07:53 AM
MLA's David Thomason argues the change in consumer habits and food choices has seen us enter an "age of integrity".

"There is a sea change going on," Mr Thomason explains.

"In the 1970s, it was all about packaging.

"In the 1980s, it was around reduced fat, and cutting out artificial colours and flavours.

"In the 90s, it was about plus and minus foods (add this, less that).

"We're at a stage now where we're saying "we're over that".

"We're entering what I think is the age of integrity when it comes to food."

Mr Thomason says this age is driven by consumers who want good nutrition, consistency, more information and labelling, and want to avoid unnatural production.

He says they've also become concerned about animal welfare and the environment and ethics.

"This is great news for us in agriculture because it ideally suits our products so well," Mr Thomason said.

"It also provides some really interesting niche marketing opportunities.

"If you want to be out there developing a product or a brand or a proposition there's a lot of opportunities for you to mix and match different aspects of food integrity to tell your story."

Mr Thomason said research is pointing to a "stronger traction" on consumer demand for natural, free range or organic production.

He said it's easier to group all of those production practices into three areas – what impacts on me and my family, what impacts on the animal and what impacts on the environment?

"The ones which consumers say 'yep I want that' and won't compromise is anything to do with 'me and my family'.

"Things like artificial colours and flavours, antibiotics and hormones, genetic modification, high levels of trace minerals.

"Consumers will satisfy the 'me and my family's' needs first then if there's anything left over they're prepared to consider those other issues."

He said in good times, when there is money left over, consumers are prepared to pay premiums for animal welfare or environmental propositions, but not at the expense of their family.

He said for the livestock sector this means industries can create segments that better meet consumer needs and maximise industry revenue.

He paid credit to the egg industry which he says has "done it brilliantly".

"If you're concerned about animal welfare then you've got an opportunity, you can buy free range eggs if you want," Mr Thomason said.

"It's not necessarily proven by science, but that doesn't matter, it's what the consumer thinks is important."

Free range eggs are about 25 per cent of the egg market and sell at a 30 per cent premium over regular eggs.

Mr Thomason said it was available expenditure that the egg industry has been "able to capture" and I think that the egg industry is pointing the way for all of us to think about the propositions and ranges and different ways of segmenting the market to extract greater spending from consumers.

"We've got to approach these things from a consumer perspective, not from a production perspective.

"…we've got to say 'what does the consumer want?' and change what we do now to meet that."

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David seems on the mark here. Consumers are becoming more savvy and questioning about where their food has come from, what processing it has undergone, and the integrity of it. And rightfully so.

There is a growing recognition of the link between nutritious chemical free food and better health. Consumers are educated nowadays, and are demanding access to unadulterated unbastardised food.

GM and chemically grown food are losing momentum in the eyes of shoppers, so we need more farmers who grow their crops with integrity - such as biological, organic and biodynamic, to cater for this increasing demand.

No point growing GM food when consumers just don't want it and there will never be a premium paid for it. Just plain dumb business sense..

Posted by brett sanders, 7/07/2009 1:50:40 AM
David, I agree with you wholeheartedly - so maybe it's time to start scaling down the energy-wasteful, environmentally problematic practice of grain feeding which, as we all know, also produces animals that give inferior tasting meat.

Hard for MLA, but we should be eating less meat and paying more for it.

As for the science supporting free range in egg production, what is without doubt is that when animals are raised in too close proximity to one another - cattle and chickens - they will be unhealthy and prone to disease.

Posted by John Newton, 7/07/2009 8:11:27 AM
Consumers want labelling that is transparent. The current GM labelling laws are there to protect the industry and has nothing to do with consumer choice.

Introduce European style GM labelling and allow the markets to decide fairly.

Posted by Hebe, 7/07/2009 10:47:56 AM
Consumers who are prepared to pay more might also want evidence (beyond just the claim on a label) that they are getting the real thing.

Claims of 'clean & green' are easily made but more difficult to substantiate.

Aust will always struggle to compete internationally (in both export and import markets) on price, but might be able to score on environmental merits - if we can prove it.

It is imporatnt that we develop systems of production that are relatively easily implemented and monitored and which stand up to the scrutiny of not just our customers but inevitably of our competitors.

Posted by bruce, 7/07/2009 6:39:02 PM

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MULTIMEDIA
29 June, 2009
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03 July, 2009
POLL
Q: Many federal politicians are overseas on trade missions and study tours, during Parliament's winter recess. Is the cost to taxpayers justified?

Yes, the trips are worthwhile.
(26.7%)

No, they're not justified.
(73.3%)

Total Votes: 435
Poll Date: 06 July, 2009

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