5 Key Trends for Food & Agribusiness

Looking ahead into the depths of election results and the potential for Brexit /No- Brexit/No-deal; food and agri-businesses, with their tight margins and deadlines, must concentrate on the crucial aspects of their supply chain, logistics and balance sheet management.  However, by being agile enough to adopt key trends and opportunities they may also give themselves a real commercial advantage over their competitors and add a much needed premium to their products.

Jessica Burt assesses the main 5 to watch in both sectors:

5 Key Trends for the Food Sector

1. Heritage / Country of Origin – This helps to add a premium to products and can be used to act as a by-line for quality and reliability.
2. Plant based – There has been a surge in interest in plant-based alternatives. This may be because it implies a health, nutrition or environmental benefit to the consumer or simply to reflect the consumer’s own world view and/or desire for something different particularly appealing to the surge in ‘flexitarian’ consumers.
3. Health and Nutrition – Health and nutrition claims remain in the top key trends; if there can be stated to be a benefit in a particular consumable choice then this will add a definite advantage to that product. These voluntary claims are strictly regulated and companies should ensure they are compliant.
4. Environmental /Sustainability – This is an issue which is gaining predominance over the last few years. The conscious of consumers and how it reflects on their purchasing choices is becoming more and more important as much as brand awareness.
5. Innovation/Individualism – The shopping basket is becoming more of a reflection of the personal choices of the consumer and anything that is interesting and/or innovative will attract greater opportunities, as long as the twin foundations of taste and cost are not forgotten.

5 Key Trends for Agri-business

1. Investment – difficult as it may be in an uncertain environment there is a real need for investment to ensure success, efficiency and production with artificial intelligence and programming coming more and more to the fore.
2. Sustainability – this is an area where there may be the added benefit of eventual costs saving – looking at water and energy as well as alternative production sources; reusable, recycling and how best to promote these practices to customers.
3. Economies of scale and Joint ventures – This will assist in cost-saving and providing a buffet to volatile market conditions. Similarly there may be partnerships between complementary businesses.
4. Country of Origin – This can be a premium claim if production or a main stage of processing takes place within the UK or a country with clear designated quality standards, this should be highlighted.
5. Quality and welfare/ voluntary claims on production –  Where extra controls or welfare standards are applied these should be promoted to customers such as the UK Red Tractor Scheme or RSPCA. Other voluntary claims can carry weight such as free-range, barn reared, and there is a more contentious call for mode of slaughter to be labelled. Extra information giving background on the product can reinforce the transparency within and strength of the supply chain sourcing and so be valuable to customers and consumers alike.