While food scares may inspire more quality-conscious consumers, they can also trigger greater regulation. In fact, the top five concerns of survey participants are regulatory and range from environmental to employee health care regulations.
In the U.S., it is unclear if the proposed rules under the Food Safety Modernization Act are enforceable—leaving some executives to wonder if they need to comply.
“Most of our clients have programs in place, and they’re trying to make adjustments so their programs comply with the rules,” says Manning. But, considering that Congress hasn’t provided funding yet, many companies are doubtful it will be fully enforced and therefore do not expect much of an immediate impact, he adds.
Actionable insight: Actively review the impact of new regulations like the health care reform at state and federal levels to get favorable tax positions. Get a clear picture of your opportunities for business incentives and take advantage of them.
Premium, healthy options top 2013 food and bev trends.
The surge of GMO products and the resulting backlash highlight how quickly the food and beverage sector evolves. This year’s top five food trends are Premium/luxury, Healthy/nutritious, Locally sourced, Sustainably produced, and Convenience.
Actionable insight: Conduct research on product category growth rates that incorporate demographic, market and competitive factors. Consider opportunities within the context of firms’ abilities to invest and assume risk.
Supply chain risks expose industry vulnerabilities.
Food and beverage processors around the globe are concerned about supply chain risks related to product safety, quality and traceability. Traceability is a topic often driven by bad news such as the “horse meat” scandal in Europe earlier this year.
Actionable insight: Tune in to localization, as the trend moves from food cooperatives to mainstream.