Food that are organic, free of antibiotics, gluten free, and meat and dairy that is not genetically modified are rising in sales. Look at the Melville, New Jersey based Hain Celestial Group that provides such food items to Whole Foods Market. Just before Thanksgiving, it announced that its antibiotic-free turkeys are sold out. Borrowing a page from Whole Foods Market, retail giants Wal-Mart and Costco have stocked few of their shelves with natural food products.
The fans No. 1 natural food supplier in the U.S. is Annie’s. However, Hain Celestial Group started natural food offerings some two decades ago. They carry natural seasonings and teas, Greek yogurts, meat free frozen meals, veggie snacks, raw juices and soups. Its sales are increasing more than 20 percent a year. Its stock price has tripled within the last three years rewarding stockholders handsomely. Now other players such as WhiteWave Foods, Dean Foods, Danone, General Mills and PepsiCo are also entering the natural foods market. Kroger and Safeway, traditional super market chains have dedicated five percent of their shelf space to natural foods in order to compete with the ever increasing demand for natural foods. Stay tuned for a war among natural food suppliers.