Food & Beverage: Consumer lifestyle is shifting

The risks of COVID-19 have changed consumer behaviours not only in the way consumers get their food but also in terms of lifestyle choices.

The food and beverage processing sector involves establishments that transform raw agricultural, livestock commodities, and semi-processed food products into a wide range of ready for consumption food and beverage products. The overall industry has a massive supply chain network to cover global food and beverage demands. The industry supply chain includes raw material preparation, food and beverage processing, packaging, and distribution.

Food and Beverage industry faced incredible challenges during the COVID-19 pandemic, particularly related to delivery, supply chain, last-mile logistics, and safety concerns. The whole dynamic of the F & B business shifted, from going to restaurants to making meals at home more or ordering takeaway food and from going to grocery stores to online ordering at e-commerce. In addition, there is also a growing concern with sustainability in the F & B industry. As a result, healthy foods and beverages and plant-based food are on the rise.

Food Processing

The industry segment is distinguished by the raw materials processed into food products. The type processing methods can be a combination of washing, chopping, pasteurising, distilling, freezing, fermenting, packaging, and many more operations. Food processing may also involve adding components to food to extend shelf life or provide added-value nutrition (fortification). Typically, the food products manufactured or processed are sold to wholesalers or retailers for distribution to consumers. Examples of food processing are milk and yoghurt, frozen foods, canned foods, snacks, processed meat, and many more. Some key players in the industry are Tyson Foods, General Mills, Mars, Danone, Mondelez, Archer Daniels Midland, Cargill, and many more.

Soft Drink Producers

Soft drinks or quite often called carbonated drinks are beverages that contain dissolved carbon dioxide. The dissolution of CO2 in a liquid gives the effervescence or fizz. The global carbonated soft drink market size is projected to reach $ 320 billion by 2028, with a CAGR of 4.7% from 2021 to 2028. The demand of carbonated beverages is impacted by an increased disposable income, customer preferences, and a growing population. Many of the company leaders produce new product lines and actively participate in advertising wars due to high competition. Top players in the industry include PepsiCo, The Coca-Cola company, Danone, Monster Energy company, Keurig Dr Pepper, National Beverage Corp, and many more.

Breweries, Dairy, Wineries

Brewery is a business that makes and sells beer. There are two types of brewery commercial and craft brewery. The commercial brewing of beer normally produced in a large fermentation facility while craft brewing of beer is owned by a small and independent brewer. The global beer market reached a value of $632 billion in 2020 and will continue to display continuous growth over the years. The demand for beer has increased parallel to the growing middle-class population. Top key players in the commercial brewing industry are Heineken, Anheuser-Busch InBev, Carlsberg, China Resources Snow breweries, Asahi, and  many more.

Key trends in food and beverage industry

Healthier Food & Plant Based
Information Transparency
Time-sensitive Supply Chain & Food Lifetime
Food Safety Handling & Regulations

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