Industry Analysis & Industry Trends
The strength of the Fruit & Vegetable Processing industry has been severely tested over the past five years given the growing competition with major retailers, rising production costs and thinner profit margins. The global economic downturn was the biggest cause for concern for many industry operators as revenue fell in response to lower consumer confidence, weak levels of disposable income and rising unemployment. Tighter household budgets meant people chose to cook at home rather than eat out, which supported demand for processed food ingredients to some extent. However, weak consumer confidence translated into cautious spending and consumers traded down their food purchases, choosing low-cost items over higher-value products... purchase to read moree
Industry Report - Industry SWOT Analysis Chapter
The UK Fruit and Vegetable Processing industry is in the decline phase of its life cycle. This is supported by the declining value of the industry's contribution to GDP along with slowly decreasing enterprise numbers and weak product innovation. Moreover, rising input prices coupled with the intensifying competition from private retailer brands is weakening profit margins and constraining industry revenue. Overall, this is expected to cause a further decline in enterprise and establishment numbers and perhaps stifle product innovation as profit margins dwindle.
Fruit and vegetable processors face a saturated market with clear product segmentation and the introduction of new products is slow... purchase to read more