Maple syrup suppliers are now targeting the UK market. Demand for natural sweeteners and premium products is steadily growing. This article is based on market research impressions from summer 2020. The research was conducted for GRed, a Canadian maple syrup brand planning to enter the UK market.
The food industry has three main distribution channels, as in many other sectors. The first is raw materials for food producers. The second is supply for hotels and restaurants. The third is retail sales for supermarkets and e-commerce platforms. Most food distributors in the UK specialize in one of these categories.
Maple syrup
Eastern Canada and the Northeastern US produce maple syrup, a rare and highly nutritious product popular in the US and Europe. Quebec is the largest supplier, and the Quebec Maple Syrup Producers Organization controls the production and prices of maple syrup. UK raw material importers often struggle to access maple syrup.Food producers need a stable supply with consistent quality and import volume.
Impact of pandemic on UK food service sector
The pandemic in 2020 significantly affected the global food service sector. Specialized distributors in this field looked for alternative opportunities. Financially strong distributors serving hospitals and schools managed to stay unaffected. Clarks currently dominates maple syrup supply to the UK food service sector. Despite the pandemic's impact, this segment now offers a promising entry point.
The UK has long maintained strong ties with Canada and the Northeastern US. As a result, maple syrup has been known and sold in the UK for many years. Today, it is a standard product in nearly every UK supermarket. However, most consumers don’t know where it comes from or that it comes from a tree. A new marketing push could change this perception. By promoting it as a healthy, nutritious, and 100% natural product, maple syrup could gain wider popularity.
Maple syrup suppliers
In the UK supermarket sector, the leading brands are Tesco, Asda (a Wal-Mart subsidiary), Sainsbury’s, and Morrisons. These four chains together control over 70% of the market. Discount retailers like German chains Aldi and Lidl, as well as some local market chains, are steadily expanding their share. Whole Foods, the US-based organic product specialist, has been active in the UK since 2007, mainly operating in London and nearby areas.
Margins and prices
When determining maple syrup prices, both producer costs and profit margins throughout the supply chain are taken into account. On the production side, the market is regulated by the Maple Syrup Producers Organization in Quebec, and producer prices are publicly available online. On the retail side, consumer prices can be tracked through the websites of major retailers.
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If you would like more information about maple syrup, the food industry, FMCG, the US market situation, and partners in these sectors, please contact us. We can arrange a meeting with our consultant who managed the distributor search project for this Canadian company in the UK.
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