As a relatively new force, the market for 'ethical' products is so far not well characterised or understood. While definitions are evolving, the description of products as 'ethical' will mean different things to different people, depending on their stance.

Since 1997, when Mintel published its last review of the area, the market value of Fairtrade Mark products has increased by over 150%. This is due to an expansion in products available and greater awareness of the issue. The market value for organic products has increased by 185% over this time. This rise has been on the back of a series of food scares, including BSE and concerns about GM foods, all of which have led to loss of consumer trust.

As a relatively new force, the market for 'ethical' products is so far not well characterised or understood. While definitions are evolving, the description of products as 'ethical' will mean different things to different people, depending on their stance.

Since 1997, when Mintel published its last review of the area, the market value of Fairtrade Mark products has increased by over 150%. This is due to an expansion in products available and greater awareness of the issue. The market value for organic products has increased by 185% over this time. This rise has been on the back of a series of food scares, including BSE and concerns about GM foods, all of which have led to loss of consumer trust.

Despite this growing interest, a number of factors are inhibiting growth of the market. These include the higher cost of ethical foods and their availability. Perception of quality is a key factor for success, to ensure that consumers make initial and repeat purchases. Transparency of the standards is critical so that consumers can understand differences, make comparisons and choose according to their requirements. The extent of consumer belief about whether they can make a difference is another important factor.

Mintel felt it appropriate to examine consumers' current attitudes towards ethical foods, in order to assess the potential influence on the market in the future.

The hypothesis of this report is that there is growing awareness of ethical issues in relation to food to which many consumers are sympathetic. This could lead to increased sales but it is a question of consumers being prepared to 'put their money where their mouth is'.

Other Mintel reports of relevance include:

- Organic Food and Drink Retailing, Retail Intelligence, June 2000

- Organic Food and Drink, Market Intelligence, November 1999

- Special Report, Food Safety, 1999

- Special Report, The Green and Ethical Consumer, 1999.