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Percentage of companies that realized an increase in operating costs and a decrease in revenue, while another 43% saw an increase in operating costs and no decline in revenue.

19%

Percentage of respondents who said they were not “very prepared” to deal with the COVID-19 pandemic. This included 83% of respondents from the retail industry, 57% of respondents from processing/manufacturing and 66% from packaging, storage and distribution, import/export and other.

62%

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Source: Survey by Research Strategy Group, commissioned by AIB International

Study finds 30% of F&B execs expect another pandemic in the next 4 years

COVID-19 has given food and beverage companies worldwide a crash course in operating during a pandemic. However, for most of them, their education and preparation doesn’t stop there. According to a new study by AIB International, 78% of food and beverage executives say they are actively preparing for a future global pandemic, with 30% expecting another one within the next four years and 50% expecting one within the next decade.

AIB International commissioned the study to better understand the impact of the pandemic on the food and beverage manufacturing sector and assess preparedness for future pandemics. Research Strategy Group surveyed 325 senior-level North American executives at leading food and beverage manufacturing companies, retailers, distributors and other supply chain partners.

“Even after the past year of disruption, almost half of respondents indicated they are still not adequately prepared with a plan for the future. Combined with the fact that 30% believe another global pandemic will occur in the next four years—and a full 50% say within the next 10 years—that lack of preparedness is startling,” says Anne Coulter, managing director, Research Strategy Group. “Further, 62% of respondents experienced an increase in operating costs due to the pandemic, while the average increase among these companies was 20%.”

“This research highlights the dramatic impacts felt by so many companies in the industry due to a lack of preparedness. Despite the understandable ‘crisis fatigue’ from grappling with COVID-19 over the past year, it’s clear that now is time to prepare for the future and elevate critical planning to a best-in-class standard,” says Steve Robert, global vice president, product innovation at AIB International. “Should a future pandemic occur, improved preparedness will help offset some of the costs and disruption that so many operations have realized over the past year.”

“This technology once was considered nice to have, but is quickly becoming a must have as today’s workforce continues to find these types of jobs undesirable.”
— Rick Dionne, Abel Womack, on AS/RS technology
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U.S eating habits influenced by ethics and sustainability

New research has shown Americans’ eating habits have become more influenced by ethics and sustainability over the past year: nearly three-quarters (71%) say they have paid more attention than ever to food provenance such as food labels and country of origin since the start of the pandemic.

Two-thirds (68%) suggest they are now eating more organic food and a similar number (69%) say they’re choosing more ethically farmed meat and fish, such as free-range poultry and MSC-certified fish. In addition, 65% are choosing more alternate protein in their diet, such as soya bean, plant-based meat and pea protein.

A quarter (26%) say they will now always choose less-polluting food types, and so permanently reduce their meat and dairy consumption.

The survey of more than 1,000 U.S. adults was commissioned by Proagrica, a global provider of technology solutions for the agriculture and animal health industries.

It also revealed what Americans think the agricultural sector needs to prioritize in order to meet its environmental responsibilities: 37% think decreasing the use of pesticides is the number one consideration, while 28% see the main focus as reducing water use through smart irrigation, rainwater recycling and recovery and other methods.

Graeme McCracken, managing director at Proagrica, says, “Diets were already changing before the pandemic, but the past 12 months have seen a huge shift in Americans’ eating habits. There is more focus than ever before on where food comes from and how it was made and consumers won’t stand for food that lacks ethical and sustainable credentials.

“Businesses in the food and agriculture industries need to actively show how they are working together to improve their operational processes. They need to be able to demonstrate that every single grain grown, fish caught and steak produced meets the exacting standards of an increasingly well-informed public. Thankfully, and reinforced in every industry conference, product launch and data insight, this focus on stewardship and standards is core to everything our industry is delivering.”