Markets of food with nutritive and health claim: Producers' and retailers' perspectives

Abstract

Although food with nutritive and health claims in the Western Balkan countries has been present in this region for more than a decade, it has remained rather understudied. Therefore, the aim of this study was to determine the importance of products with nutritive and health claims in the Western Balkans, using qualitative research techniques. In the study, the prices and margins of the subject product group, distribution channels, demand perception and incentives as well as barriers for the future development of the functional food market were analyzed. The study included five categories of products with nutritive and health claims, while the technique of the in-depth interviews was adopted. The total of 29 producers and 26 retailers form all the six countries of the region participated in the research. Even though the studied categories recorded a sales growth in the previous period, a significant increase is expected in the medium and long term, along with the growth of the living standard - given that products with nutritive and health claims are more expensive than regular ones. The results imply that it is necessary that the level of education regarding the role of food in health preservation should be raised; and that a change in bad eating habits should be influenced. The development of functional food markets also requires a government support and an appropriate legislation.