Inflation, labor concerns top produce poll
A poll of international produce industry operators at the LinkedIn Fresh Produce Industry Discussion Group indicates top concerns about the business now include higher costs, a tight labor market, and drought conditions in the West.
“What worries you the most about the produce business right now?”
The results, with 173 voting as of July 1, were:
- State of economy: 18%
- Higher costs: 46%
- Drought/water shortage: 21%
- Other - explain: 15%
Labor and staffing needs were mentioned by several U.S. and international produce operators.
Some comments from the discussion thread:
- "Drought and water shortages. If it continues. It will drive prices up. Some farms very likely will cut back on planting, or shut down, which will affect the work force which in turn will affect the economy." (Chicago)
- "Different pressure points in different parts of the world. Here it’s climate threat, increased prices, shortages, lack of access to growing supplies."(Trinidad and Tobago)
- "We have another roller coaster year coming with the additional COVID strain affecting business globally and intermittent, shortage of labor, Transportation via road or water, environmental issues, inflation, shortages and price gouging. I think we will have a year where prices are equal to dribbling a basketball. Complacent buyers will be overpriced, Contract prices are going to change with transportation issues, or acts of god. Labor shortage is going to hurt great companies and everyone else. Smart shopping and focused sales will prevail." (Oregon)
- "There is a shortage of people willing to work in fruit farms to pick the fruit." (Chile)
- "Retail price being more important than quality, size and flavor in many retail venues will erode consumption." (Washington)
- "I believe the continued issues with freight will continue to make produce (along with many other commodities) more difficult to source and at higher costs." (Chicago)
- "That people/companies don’t learn anything or make any lasting significant improvements to fix legacy issues that it took a pandemic and climate change to bring into the light." (Wisconsin)
- "Lumber, freight, external factors at ports, consumer pricing, transparency and more. Lots happening right now. (Florida)
- "If consumers will not pay more at the grocery store, growers and retail will suffer. (California)
- "Level of food safety. The majority is using methods which they use for decades, and they just accept QA data which was written down by human beings or from equipment without any kind of calibration program." (Netherlands)
There are four days remaining to vote in the poll, and additional insights and comments in the discussion thread are always welcome.
