Irish consumers are spending significantly more time at home and with that, we are seeing greater exploration of food and drink. While some are turning towards healthy foods, others are indulging, but both behaviours appear to be benefitting the free-from category, with 38% of NI and 37% of RoI consumers agreeing that COVID-19 has seen them eat/drink more free-from foods, and over half of IoI consumers agreeing they have been trying more different types of free-from in the last six months.

For these reasons, the free-from category is booming in 2020 with sales for the IoI market increasing by 12% between 2019 and 2020, up from 8% growth in the previous year. The sales trajectory is expected to continue on its growth path as NPD within free-from foods expands and consumers face greater choice.

The free-from category’s high price bracket continues to deter more cash-strapped consumers. As more consumers than ever are feeling the pinch, this could have implications for free-from considering that 46% of RoI and 41% of NI consumers agree to cutting back on free-from food/drink when money is tight.

In saying this, growing interest in plant-based and flexitarian diets is helping to move free-from foods into the mainstream, with dairy alternatives reaping the rewards more so than other categories. Meat alternatives are also seeing significant demand and, as greater emphasis is placed on the meat and dairy industry’s unsustainable future, more consumers are likely to start switching them out for plant-based alternatives.

• The impact of COVID-19 on consumer behaviour and free-from food and drink.

• The impact of Brexit on the availability and labelling of free-from foods.

• The highly processed image of free-from foods needs to be addressed.

• The opportunities and threats of promoting plant-based vs vegan claims on free-from foods.

This update on the impact that COVID-19 is having on the market was prepared on 16 December 2020

In RoI, the first COVID-19 cases were confirmed in February, though numbers were small with the first death related to COVID-19 not recorded until 13 March 2020. One day previous, RoI was put into lockdown on 12 March.

The first COVID-19 cases were confirmed in the UK at the end of January, with a small number of cases in February. As the case level rose, the UK government ordered the closure of non-essential stores on 20 March, which was adopted in NI and the region went into lockdown.

Lockdown had eased in July 2020, but both NI and RoI have since been placed under tighter restrictions as a second wave emerged. In October 2020, NI was placed in a four-week lockdown with foodservice closures (excluding takeaway) and a continuation of these measures occurred in November/December 2020.

In RoI, a lockdown was introduced in October 2020 and lasted until the end of November 2020 (six weeks) with foodservice and non-essential retail closed. Facemasks are mandatory (as of August/September 2020) in many establishments and public transport. Both regions are likely to face tighter restrictions in 2021 as virus transmission rises once again.

Free-from is defined as foods that are manufactured and targeted specifically at consumers who suffer from food intolerance and/or food allergies, or who are following avoidance diets. Foods that have been specially manufactured (eg pasta, bread) to cater for a gluten-free diet, for instance, are included within this definition.

For the purpose of this Report, foods targeted at intolerance and allergy sufferers include:

Gluten-free/wheat-free: A gluten-free diet is one that strictly excludes gluten, a protein present in wheat, barley, rye and spelt. Oats are also included in the EU (European Union) list of gluten-containing cereals, although their role in a gluten-free diet remains unclear. Wheat products are often marketed as gluten-free due to the presence of gluten in wheat; however, it is also possible for people to have a specific allergy for wheat.

Dairy-free/lactose-free: People who follow a dairy-free diet avoid food and drink that contain one or both of the milk proteins: casein and whey. A dairy-free diet is also followed by vegans for reasons ranging from health, religious and ethical views. Products that are lactose-free do not necessarily mean they are dairy-free as lactose is often removed from milk based products. This category includes cow’s milk alternatives and non-mammalian milk alternatives (eg soya based).

A food allergy or intolerance can be described as a reaction that the body’s immune system has to specific foods. Allergen/intolerance reactions can vary from mild to serious, eg skin rash, swelling and vomiting. The following allergies and intolerances are examined within this Report:

• Gluten

• Wheat

• Dairy

• Lactose

• Nuts and peanuts

• Fish or shellfish

• Soya

• Celery

• Eggs

• Red meat

• Poultry