Trending Now

Building a Resilient Supply Chain with Advanced Predictive…

New Articles

A Niche Grocer in a Bind, Is Anyone Safe From Inflation?

consumers food plastic
Archives, Global Trade Daily, Market insight

A Niche Grocer in a Bind, Is Anyone Safe From Inflation?

Leave a comment

While the causes of inflation can be nuanced, the effects are clear. In the face of rising costs, most consumers either purchase less of something or seek cheaper alternatives. There are some examples of inelastic goods that remain in demand in the face of price hikes – prescription drugs, utilities, or tobacco products to name a few. But most products can either be swapped out or not consumed at all.

Whole Foods Market is one of the more expensive supermarket options. The Amazon-owned grocer caters to a segment that is accustomed to higher prices than one would find in more conventional markets. Yet, in the face of ever-rising prices, Whole Foods is making a push with their suppliers to bring down prices as lower-cost competitors such as Aldi Inc. and Trader Joe’s are beginning to gain market share. 

Traffic to Whole Foods stores declined by roughly 8% in the fourth quarter of last year. Major rivals such as Albertsons and Kroger also suffered declines, but the previously mentioned Aldi and Trader Joe’s recorded increases. After the Amazon purchase of Whole Foods in 2017 the grocer has been introducing lower-cost Whole Foods brands as a strategy to reach a broader range of clients. This is beginning to bear fruit but the pandemic and resulting inflationary pressures are stubborn and unwieldy obstacles. 

Food suppliers and restaurants have been raising their prices since the late first quarter of 2022. Kraft has raised their prices by nearly 14% since 2019, while Tyson’s beef prices increased by an average of 24% from January to April 2022. All of these hikes have predictable trickle-down effects on grocers and Whole Foods is now publicly leaning on its suppliers to help lower prices for the chain’s customers. 

It is unclear how suppliers will respond. They are dealing with higher labor and production costs as well as transport (gas especially). Whole Food’s price hikes have been lower than the industry average but for many of its products, a cheaper alternative is readily available at competitor stores. Whole Foods is a lifestyle, yet once that lifestyle becomes difficult to manage, people seek out options.   

Whole Foods faces pressures that are common across sectors. Inflation is just a “what if” until it actually appears and begins to slowly erode purchasing power. The US especially has a large segment of people in their 30s and 40s who never lived through the high prices of the 1970s. The only definite in life is history repeating itself … as it’s doing now once again. 

 

growth
Archives, Global Trade Daily, Market insight

Food Packaging Tester Market is Predicted to Increase at a 6.5% CAGR over the Forecast Period of 2022-2032

Leave a comment

Sales in the food packaging tester market are predicted to increase at a 6.5% CAGR over the forecast period of 2022-2032. Growth is attributed to rising awareness about food safety and hygiene. Additionally, increasing concerns over health hazards and regulatory norms regarding food packaging requirements for food safety will propel demand in the forthcoming decade.

Food packaging testers are one of the essential components of the food industry. A food packaging tester determines the sustainability of a food package against chemical, physical, and environmental factors that can spoil food if it is not packed correctly.

Due to various food safety regulations, manufacturers focus on creative packaging ideas to ensure product freshness over some time. Also, the increasing demand for packaged food by consumers is driving the growth of the food packaging tester market potentially.

The food packaging tester market has witnessed potential growth due to the need for protection against air, toxins, moisture, and microorganisms. Also, a food packaging tester plays a significant role in the prevention of leakage. The capability of the package is tested by performing various tests such as chemical testing and physical testing on the package.

Durable Packaging of Food to Meet Worldwide Consumer Needs

Nowadays, visually appealing and quality packaging plays a major role in establishing a brand. This factor is ultimately contributing to the growth of the food packaging tester market across the globe. Also, the increasing proliferation of online food delivery has helped in driving the food packaging tester market.

Food products are shipped worldwide to meet global consumer needs, and hence the packaging must be durable. These factors have made food packaging testers even more valuable.

The demand for hygienic packaging of food is growing. In addition, advancements and improvements in technology have made packaging safer, reliable, and faster. These parameters are largely contributing to the growth of the food packaging tester market across the globe. Furthermore, the governments of developed and developing countries have set strict regulations to ensure food safety – this is further driving the adoption of food packaging testers.

High-Cost Hampering Growth

The cost associated with a food packaging tester is quite high, making it difficult for small-scale food industries to invest in the food packaging tester market. Due to these factors, the growth of the food packaging tester market is affected.

Competition Landscape

Some of the prominent players in the food packaging tester market are SGS, Intertek and ALS Ltd, Robert Bosch, GEA Group, IMA Group, COESIA Group, Ishida, ARPAC, Multivac, Nichrome India, Adelphi Group, and Lindquist Machine Corporation.

Regional Overview

Based on geography, North America and Europe with significant economies are capturing the largest market share in the food packaging tester market. The rising demand for hygienic packaging and durable packaging of products is driving the growth of the food packaging tester market.

Along with that, the increasing concerns about strict food safety regulations have witnessed a potential increase in the adoption of food packaging testers in various industries. Also, the rising concerns about safety and durability in countries such as India and China in the APAC region are significantly contributing to the growth of the food packaging tester market.

About Future Market Insights (FMI)

Future Market Insights (ESOMAR certified market research organization and a member of the Greater New York Chamber of Commerce) provides in-depth insights into governing factors elevating the demand in the market. It discloses opportunities that will favor the market growth in various segments based on Source, Application, Sales Channel, and End Use over the next 10 years.

potato market
Archives, Global Trade Daily, International Trade

The Global Potato Market Hits Record Highs

Leave a comment

IndexBox has just published a new report: ‘World – Potato – Market Analysis, Forecast, Size, Trends and Insights’. Here is a summary of the report’s key findings.

In 2019, the global potato market increased by 6% to $140.5B, rising for the third consecutive year after two years of decline. The market value increased at an average annual rate of +3.0% from 2007 to 2019; the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. Over the period under review, the global market hits record highs in 2019 and is expected to retain growth in years to come.

Consumption by Country

The countries with the highest volumes of potato consumption in 2019 were China (93M tonnes), India (51M tonnes) and Ukraine (23M tonnes), with a combined 45% share of global consumption. These countries were followed by Russia, the U.S., Bangladesh, Germany, Poland, the Netherlands, Canada and Belarus, which together accounted for a further 23%.

From 2007 to 2019, the most notable rate of growth in terms of potato consumption, amongst the leading consuming countries, was attained by Bangladesh, while potato consumption for the other global leaders experienced more modest paces of growth.

In value terms, China ($52.3B) led the market, alone. The second position in the ranking was occupied by India ($10.5B). It was followed by the U.S..

The countries with the highest levels of potato per capita consumption in 2019 were Belarus (591 kg per person), Ukraine (521 kg per person) and the Netherlands (350 kg per person).

Market Forecast 2019-2030

Driven by increasing demand for potato worldwide, the market is expected to continue an upward consumption trend over the next decade. Market performance is forecast to retain its current trend pattern, expanding with an anticipated CAGR of +1.6% for the period from 2019 to 2030, which is projected to bring the market volume to 441M tonnes by the end of 2030.

Production 2007-2019

In 2019, the amount of potatoes produced worldwide reached 371M tonnes, surging by 2.1% on the previous year. The total output volume increased at an average annual rate of +1.6% from 2007 to 2019; the trend pattern remained consistent, with somewhat noticeable fluctuations in certain years. The most prominent rate of growth was recorded in 2011 with an increase of 12% against the previous year. Global production peaked in 2019 and is expected to retain growth in years to come. The general positive trend in terms output was largely conditioned by a slight expansion of the harvested area and modest growth in yield figures.

Production by Country

The countries with the highest volumes of potato production in 2019 were China (93M tonnes), India (51M tonnes) and Ukraine (23M tonnes), with a combined 45% share of global production. These countries were followed by Russia, the U.S., Bangladesh, Germany, France, Poland, the Netherlands, Canada and Belarus, which together accounted for a further 25%.

From 2007 to 2019, the most notable rate of growth in terms of potato production, amongst the key producing countries, was attained by Bangladesh, while potato production for the other global leaders experienced more modest paces of growth.

Harvested Area 2007-2019

In 2019, the total area harvested in terms of potatoes production worldwide was estimated at 18M ha, approximately mirroring the previous year. Over the period under review, the harvested area, however, saw a relatively flat trend pattern. The most prominent rate of growth was recorded in 2011 with an increase of 2.7% year-to-year. As a result, the harvested area attained the peak level of 19M ha. From 2012 to 2019, the growth of the global potato harvested area failed to regain the momentum.

Yield 2007-2019

The global average potato yield stood at 21 tonne per ha in 2019, growing by 1.6% on 2018. The yield figure increased at an average annual rate of +1.7% over the period from 2007 to 2019; the trend pattern remained relatively stable, with only minor fluctuations being observed throughout the analyzed period. The pace of growth was the most pronounced in 2011 when the yield increased by 8.9% year-to-year. Over the period under review, the average potato yield hit record highs in 2019 and is expected to retain growth in years to come.

Exports 2007-2019

In 2019, shipments abroad of potatoes increased by 4.9% to 15M tonnes, rising for the fourth consecutive year after two years of decline. The total export volume increased at an average annual rate of +3.2% from 2007 to 2019; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The most prominent rate of growth was recorded in 2013 when exports increased by 42% against the previous year. As a result, exports reached the peak of 16M tonnes. From 2014 to 2019, the growth of global exports remained at a lower figure.

In value terms, potato exports rose rapidly to $4.8B (IndexBox estimates) in 2019. The total export value increased at an average annual rate of +2.8% from 2007 to 2019; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period.

Exports by Country

In 2019, France (3.5M tonnes), distantly followed by Germany (1.9M tonnes), the Netherlands (1.8M tonnes), Belgium (1M tonnes) and Egypt (0.7M tonnes) were the main exporters of potatoes, together committing 60% of total exports. Pakistan (625K tonnes), the U.S. (550K tonnes), Canada (504K tonnes), China (471K tonnes), India (417K tonnes), Spain (303K tonnes) and Saudi Arabia (294K tonnes) followed a long way behind the leaders.

From 2007 to 2019, the biggest increases were in India, while shipments for the other global leaders experienced more modest paces of growth.

In value terms, the largest potato supplying countries worldwide were France ($812M), the Netherlands ($800M) and Germany ($440M), together comprising 43% of global exports. China, Egypt, the U.S., Belgium, Canada, Spain, Pakistan, India and Saudi Arabia lagged somewhat behind, together comprising a further 35%.

In terms of the main exporting countries, India recorded the highest rates of growth with regard to the value of exports, over the period under review, while shipments for the other global leaders experienced more modest paces of growth.

Export Prices by Country

The average potato export price stood at $323 per tonne in 2019, picking up by 4.1% against the previous year. Over the period under review, the export price, however, saw a relatively flat trend pattern. The most prominent rate of growth was recorded in 2011 when the average export price increased by 18% year-to-year. As a result, export price attained the peak level of $375 per tonne. From 2012 to 2019, the growth in terms of the average export prices remained at a lower figure.

Prices varied noticeably by the country of origin; the country with the highest price was China ($613 per tonne), while Saudi Arabia ($170 per tonne) was amongst the lowest.

From 2007 to 2019, the most notable rate of growth in terms of prices was attained by China, while the other global leaders experienced more modest paces of growth.

Source: IndexBox AI Platform