At the end of every year since 2006, Rabobank asks their contacts in the food supply chain (\u201cranging from start-up founders to CEOs of zillion-dollar companies, and everyone in between\u201d) the following question: \u201cIn the world of food, what surprised you the most over the last twelve months?\u201d This year they received over 200 responses, some surprising, some less so. <\/p>\n\n\n\n
Overall, respondents were \u201csurprised\u201d by the way the food supply chain is managing to respond quickly to constant changes in consumers\u2019 demands. As one client wrote: \u201cFrom delivering new products, changing business models, adjusting to consumer shifts, investing in innovation in various forms, and facing tough realities, the world of food is markedly different.\u201d Heads are no longer being buried in the sand, as \u201cit seems that everyone suddenly woke up.\u201d<\/p>\n\n\n\n
However there was still some criticism of \u201c\u201dBig Food,\u201d with one respondent writing that he was surprised that \u201cthat big-food-brands companies are still struggling to grow despite most of them revising strategies and replacing CEOs.\u201d Another was surprised that \u201cthe troubles faced by the Big CPGs, with brands my mom and grandparents used to buy, seemed to get worse over the past year despite so much renovation and reconfiguration of operations and marketing approaches.\u201d <\/p>\n\n\n\n
Some respondents talked about the way Big Food is trying to achieve top-line growth \u201cvia overpriced acquisitions that are shareholder wealth destructive\u201d. Another Many respondents expressed surprise at the rapidity with which consumers are embracing plant-based foods and\/or a \u201cflexitarian\u201d diet. One client replied that he was surprised by \u201cthe acceleration of plant-based foods \u2013 and the growing acceptance of the products by non-vegan, non-vegetarian consumers regardless if their motivation is for health, animal welfare, or \nRespondents were almost unanimous in their view that this is an\nenduring trend rather than a \u201cfad\u201d, but many stressed that the\ndiet was not for everyone. One wrote, \u201cDespite all the money\nflowing into replacement meat products, I don\u2019t see the evidence of\nconsumer desires for these products.\u201d Another mentioned the\n\u201cmismatch between what the media is writing about and reality.\u201d \n<\/p>\n\n\n\n \nOne \u201csurprise\u201d that was cited was the different ways in which\nconsumers respond to technology in their food supply. Some clients\ndetected a thawing in relations between food and science: although\n\u201cconsumers have been rejecting science more and more over the past\ndecade\u201d (such as the non-GMO movement), there is growing\nappreciation of the role of technology in many aspects of food and\nagricultural production\u201d. \n<\/p>\n\n\n\n \nHowever, one respondent wrote he was frustrated by \u201cthe rising\ntendency for people to selectively believe science only when it\naligns with their beliefs.\u201d Others were surprised by the lack of\npushback by food companies against the anti-science bias in food. One\ncriticised \u201cthe willingness of some food companies to ignore\nscience and chase consumer fads.\u201d Examples included the\nproliferation of free-from<\/em> claims on \u201cproducts that never\nhave, nor will have, certain ingredients.\u201d \n<\/p>\n\n\n\n \nSome respondents expressed surprise \u201cby how quickly capital and\nideas are flowing to the nascent and undefined world of CBD,\n(cannabidiol \u2013 a non-intoxicating cannabinoid found in cannabis and\nhemp) both in food and beverages.\u201d One expressed surprise that food\ncompanies and retailers are \u201cembracing CBD given regulatory\nuncertainty, not to mention uncertainty around its effectiveness,\nproper dosage, etc.”<\/p>\n\n\n\n \nHowever, with the passing of the latest Farm Bill taking industrial\nhemp off the list of Schedule 1 narcotics (as defined by the\nControlled Substance Act), one respondent wrote, \u201cI almost see this\nas a space that can be as deep and wide as alcoholic beverages, and\nlarge strategics are having to act quickly to determine whether or\nnot they want to take the risk of playing in this space (or not).\u201d \n<\/p>\n\n\n\n \nAmong other surprises cited in the survey was \u201cthe velocity and\nbreadth at which #MeToo rippled through the restaurant industry,\nresulting in rapid response and swift changes.\u201d Regarding the\nenvironment, one client wrote, \u201cThis year we did not see coming the\nfood industry disruption associated with use of plastic straws.\u201d\nAnd for trade, one mentioned \u201cThe rapidity with which the trade war\nwith China escalated, the resultant tariffs, and their impacts on\nfruit and nut producers in the U.S.\u201d<\/p>\n\n\n\n \nFinally, the last word is left to the respondent who wrote that he\nwas \u201csurprised by the ferocity of the arguments about whether\nlow-fat or low-carbohydrate diets are better for weight status.\nReally, both work, provided people adhere to them, and calories\nreally do matter.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":" At the end of every year since 2006, Rabobank asks their contacts in the food supply chain (\u201cranging from start-up founders to CEOs of zillion-dollar companies, and everyone in between\u201d) the following question: \u201cIn the world of food, what surprised you the most over the last twelve months?\u201d This year they received over 200 responses, … <\/p>\n