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Demand for organic beverages growing

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According to market intelligence company Euromonitor, the off-trade current value sales of organic beverages in the United States grew by 4% in 2014. Starbucks led the organic beverages market with a 9% off-trade value share in 2014, reports These good perspectives let PepsiCo decide to launch Organic Gatorade in 2016.

Organic beverage sales in 2014 benefited from improved consumer sentiment among higher-income consumers due to better economic conditions in the United States, say the Euromonitor experts. Organic beverages are priced higher than standard beverages. Based on Euromonitor estimates, the off-trade value sales of organic beverages are expected to rise by 21% at constant 2014 prices to $1.3 billion by 2019. In August 2015, Coca-Cola bought a ~30% stake in Suja Juice, a California-based manufacturer of organic juices.

At the Beverage Digest Future Smarts Conference held in New York City, Al Carey, the chief executive officer of PepsiCo North Americas Beverages, announced the company’s plan to launch an organic version of Gatorade, its sports drink brand.
According to Business Insider, Carey spoke about consumers’ interest in non-GMO (genetically modified organism) and organic products. PepsiCo also revealed its plans to launch a line of non-GMO labeled Tropicana juices in 2016.



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