Frozen food market value up but volume down

Newark, Lincolnshire:  Sales of frozen foods have grown in value up 6% year-on-year to June but volumes have fallen says the British Frozen Food Federation.

Higher sales of premium-priced products explain the trend says its director general, Brian Young. Ice cream is a category that had benefited from  ‘premiumisation’, achieving 4.4% value growth on a 4.5% drop in volume he said.

“There are lots of things going on. With ice cream, for instance, there have been increases in premium
product sales, but also cost pressures from ingredients such as milk,” says Young.

Frozen ready meals saw 4.2% value growth on a 1% drop in volume, but according to Young,  “silly prices” of £1 per meal have thinned out competition in the category, helping to push prices back up to around  the £1.30 level.