Israel’s reputation for its food industry is resulting in a growing worldwide demand for Israeli food products as the global trend is to try innovative and healthier food options.

On January 1, 2008, the Manufacturers Association of Israel revealed a 4.5% increase in 2007 from 2006 for Israeli food manufacturers with NIS 50.2 Billion in sales. For local sales, the increase was measured at 4% to NIS 46.8 Billion while a 17% rise in exports amounted to $830 Million. Growth was recorded in natural and organic food sales also, reported Jerusalem Post .

The report by the Manufacturers Association added that over 10 new products were introduced by 18% of the nation’s food producers in the market in 2007. 74% producers started promoting around nine new products, reported Jerusalem Post .

Overseas consumer demand for Israel-made food products has been increasing since 2005. The result has been an escalation in Israeli goods exports to a variety of overseas markets including the European Union, the US and Canada for an estimated annual volume of around $0.5 Billion.

Ethnic specialties account for much of the Israeli food products that are catching the fancy of overseas buyers, highlighting an increasing tendency of global consumers to adapt to new tastes.

Growth in demand for food is not just linked to population growth but also to the worldwide demand for improved diet and meat.

With Israel’s reputation in the world for innovations in food products, the growing eagerness of customers to sample new food products is among the primary reasons for a massive demand for Israeli food products.

2007, the last year of the review period of 2006, saw increasing health consciousness in Israel which led consumer foodservice channels to alter their menus to incorporate more and more healthier options in meals. Israel is currently seeing a trend for healthy products like low calorie and low fat, organic and vegetarian and whole meat products creating a significant domestic demand.

A RNCOS Research Analyst said, “Israel is known for its innovations in nutritious and innovative processed food which will entice consumers to sample new Israel food products. The growth of the food industry in 2008 will get a fillip from the rising domestic demand for healthy foods. Also, the free trade agreement with the European Union, the US, Canada and other countries will continue to maintain its status as a prime source for food and beverage supply”.