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Healthy eating has been at the forefront of media and medical circles in recent years. Discusses the awareness and response of the food chain (multiple retailers, food companies and farmers) to the healthy eating trends and reports. Retailers were the most aware of healthy eating, and had reacted positively in line with the trends and dietary recommendations. This contrasted with farmers, many of whom were unaware of the dietary messages, and few of whom had responded to them, reflecting the lack of Government support for organic agriculture, and dairy farmers being paid to produce high and not low‐fat milk. When the nature of Government support changes, the food chain will respond more efficiently to consumer demands for healthy eating. Based on research involving 683 farmers, food companies and retailers in the food chain.

Comparisons are made of the definitions of health/healthy foods in the literature, and those of 683 farmers, companies and multiple retailers researched by questionnaire survey. Recommends classification on a clearly defined continuum of terms to allow flexibility on perceptions and the development of new foods.

Outlines research investigating the awareness and reactions of the food chain to the healthy eating trends and reports based on questionnaires to 684 farmers, companies and retailers involved in organic, dairy and cereal sectors. Half of the farmers, two‐thirds of the companies, and all the retailers were aware of the dietary trends and reports. A third of the organic farmers, but only 3 per cent of the dairy and cereal farmers respectively had moved in line with the trends. In contrast, all the companies and retailers were stocking healthy foods, nutritionally labelling foods, decreasing additive levels, and formulating healthy eating campaigns and policies. Concludes that Government supports must change to encourage farmers to enter organic production and produce low‐fat milk in accordance with consumer wishes. Finds scope for more Government funded educational initiatives and reports on diet and health.

A forecasting method involving construction and interpretation of the business cycle is presented. Definition and development of lead indicators are discussed. These tools provide management with short‐ to medium‐term forecasts of sales activity. Insights into the reasonableness of the forecasts and guidance for appropriate management actions are discussed. Data from an actual company are used to illustrate computation and interpretation procedures.