Is Food Production Getting Leaner?
Many reports and news are coming out these days highlighting the issues at hand in the global Food Production industry and the breach in the supply chain. Some describe them as an unprecedented worldwide food crisis in the years to come.
Many food producing companies have specialized plants, that lies in the heart of the ecosystem they rely on. Its about the radius in logistics to keep a steady supply of ex. Produce and wares needed for production, reliable trays for packaging and a cost-efficient energy supply. If any of these steps in the supply chain gets disrupted the consequences can be vast. Both for the economy and the climate.
And 2022 have been a challenging year for the industry. The wheat crop in US have been described as the lowest since 1963, whereas the population have grown 180%. In some states it has been reported that the number of cattle is down up to 50%. That number is difficult to cope with when predicting food prices in the years to come.
But it is a worldwide problem. Europe, Asia and Africa are all facing a severe decline in farming. For the most part due to climate change and droughts worldwide. We soon have to ask ourselves some difficult questions: How can we support a larger radius in the supply chain for the food industry, that is reliable and climate-friendly?