According to the British Frozen Food Federation (BFFF), the frozen food industry has “continuously demonstrated outstanding performance” in 2023, despite “economic challenges” affecting the supply chain.
The latest Kantar data sourced by the BFFF showed the frozen food industry has experienced growth in both value and volume, with a year-on-year (YoY) increase in value of 15.6% (£1,131,220,000) and volume of 0.4% (9,398,000 tonnes) in total frozen foods.
Frozen potato products (up 4.6%), pizza (up 1.6%) and savoury food (up 5.1%) all experienced substantial volume growth in the 52 weeks to 26th November, as well as in the past 12 weeks compared to the same period last year.
BFFF said that the demand for “great value for money products” was “primarily due to shoppers having to tighten their belts” while experiencing cost-of-living pressures.
Volume sales of frozen vegetables grew by 0.7%, which BFFF said tied in with consumers becoming increasingly more health conscious. Frozen ready meals and fish saw a volume decline by 0.9% and 0.8% respectively. However, the data showed that frozen fish “bucked the trend” over the 12 weeks, with an increase in volume of 1.8% year-on-year.
Ice-cream sales grew by 10% in the 12 weeks to 26th November. BFFF suggested that the spike in demand over the autumn winter season reflected “recent impressive innovation” in the category and shoppers opting for more cosy nights in rather than costly nights out.
Frozen confectionery, which was down 4.8%, saw a decline in volume in 2023 with budget-conscious shoppers cutting down on nonessential items such as sweet treats.
The trade body said that while meat and poultry performed very well earlier in the year, in the 12 weeks to 26th November 2023 this category saw a “huge” drop in volume sales of 17.5%. It said that this may have been due to the cost of meat rising significantly, “forcing” many consumers to buy less, coupled with the rising number of consumers moving to vegan and vegetarian food.
Celebrating 100 years of fast freezing
Commenting on the report, Rupert Ashby, chief executive of the BFFF, said: “With inflation beginning to ease – dropping to 9.2% in November, down from 10.1% in October and 12.2% in September – we hope to see sales increase in the new year as consumers have more disposable income.
“I am elated to see the exceptional performance of our industry in 2023. The numbers speak volumes and are a testament to our members who have continued to innovate and provide shoppers with value for money foods, despite battling rising costs and inflation. Frozen food has been embraced by shoppers during what has been an extremely tough year for many.
“We are not only celebrating the end of a very successful 75th anniversary year for the BFFF but are also eagerly anticipating another remarkable milestone, as 2024 marks an amazing 100 years since Clarence Birdseye launched the fast freezing process that would change food production and distribution forever.
“Frozen food made its way to the UK in 1938 and has since become a kitchen staple. Our 100 year journey is a reflection of the ever-improving taste, quality and convenience of frozen food and we hope to continue to support our members and the wider industry for the next century.”
