Global Food Processing Industry Trends
With the stimulating growth being witnessed in the food retail sector, favorable economic policies, and attractive fiscal incentives, India's food ecosystem offers enormous opportunities for investment. India is the world's sixth-largest food and grocery market. In India, the food and grocery retail business accounts for over 65% of the total retail market.
Food
processing is critical in connecting Indian farmers to consumers in both
domestic and international markets. The industry employs approximately 1.93
million people in approximately 39,748 registered units, has a fixed capital of
$32.75 billion, and an aggregate output of approximately $158.69 billion.
Grain, sugar, edible oils, beverages, and dairy products are the major
industries that make up the food processing industry.
The food The processing sector in India is indeed the largest in the world, with its output
expected to reach $535 billion by 2025-26.
Everything
is undergoing transformation. The way we eat, technology, and people's
expectations are all having an impact on the food sector, from the materials we
buy to the software we use to manufacture meals.
Let us
discuss about the Global Technology Trends in Food Processing Industry:
1. Sustainability:
When it
comes to food, consumers are concerned about sustainability. Food waste is a
subcategory of food sustainability to be aware of. According to the United
Nations, roughly 1.6 billion tons of “primary product equivalent” food is
wasted globally, and 28% of agricultural land is used to produce food that is
lost or squandered. This has a total annual economic impact of around US$750
billion.
2. Changing Habits – The rise of
plant based foods:
Plant-based
foods are becoming increasingly popular, and they're taking over grocery
shelves and freezers all over the world. Indeed, the plant-based meat business
in the United States is worth over $900 million, and 14% of US households say
they buy plant-based meat. Vegans used to be the only ones who used these
substitutes, but now vegetarians, flexitarians, and ordinary omnivores make up
a major share of potential customers and are driving market expansion. People
believe that these selections are healthier, and as we'll see later in this
piece, health is a big concern for today's customer.
3. Changing Habits – Healthy
food, Healthy body:
Healthy
foods have been popular for a long time, but the pandemic has given them a
whole new meaning. AMD also emphasizes that individuals are concerned about
more than just their immune systems. Concerns about cardiovascular disease,
weight loss, personal nutrition, and mental health are all driving behavioral
changes that are affecting product growth. To put it the other way round,
nearly half of consumers intend to purchase food items related to their health
and well-being, and a third of them have already done so.
4. Changing Habits – Purchasing food
that lasts:
While it's
unlikely that these habits would last long after the pandemic has passed,
experts believe they'll be around until at least 2021. (And possibly longer). A
switch from fresh to frozen or processed goods — those long-lasting
center-store items — is one such behavioral adjustment. When faced with a stock
out of the fresh item they meant to buy, 28 percent of consumers will choose
for a frozen or processed option. Perishables may be at jeopardy if
manufacturers are unable to maintain a steady supply and maintain their appeal
to strained customers.
5. Disruption of JIT:
For
decades, the just-in-time supply chain model has dominated the food business,
assisting organizations upstream and downstream in reducing waste and
controlling prices. However, under the intense strain of Covid-19, this
approach has proven too brittle for the present. Experts foresee — and are
seeing — a large-scale transition away from JIT and toward just-in-case in the
food industry.
As a
result, technology is a vital investment for food processors to explore in 2021
— anything that will help them get automated through monitoring, and analysis of
essential processes like inventory management in order to maintain visibility
over operations and reduce the danger of excessive shrinkage.
6. Huge investments in Food
Manufacturing Software:
Costs are
already high enough without adding to them as a result of shifting customer
habits and supply chain practices. Advanced food manufacturing software is one
method many food manufacturers are helping to offset — or at least control —
those expenses. This type of software allows you to see and control your
inventory as it enters and exits your warehouse. Food inventory management
software, for example, is designed to track each item as it moves through your
firm, from purchase to sale. It can keep track of the age of stock, where it's
kept, bespoke recipes, and how well things are selling - basically any facet of
the business.
In today's world, business information is essential for success. Visibility and real-time monitoring enable an organization to accurately control expenditures while also allowing it to make modifications in response to changing trends.
Conclusion:
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