Within the sector, pandemic impact is mixed—some organizations are thriving, while others are under pressure, linked largely to distribution channels. Because organizations often supply to both retail and food service, even within an organization the impact can range significantly. Retail suppliers are dealing with demand surges and must find ways to respond quickly, manage resources and maintain food safety and security.
Macro-economic factors will continue to influence the sector. Shifting consumer demand could change food and product selection; and a growing population coupled with sustainability imperatives are increasing pressure on the sector to be more efficient. This is creating disruptive business models, backed by new private equity and other investors, using technology-based solutions to generate new operating models. This is likely to be why M&A activity is identified as a higher priority in this sector. Climate change will also have a huge impact on the sector and its supply chain, reinforcing the need to plan ahead for future shocks.
Full results
Agrifood
Future Shocks
1. Economic disruption
2. Climate change
3. Geopolitical tension
4. Another health crisis/pandemic
5. Business model disruption
54%
7%
7%
12%
19%
Our business has been severely impacted and will take significant time to recover
Our business has been impacted, but we are unsure of the long-term impact
Our business has been impacted, but has been resilient
Our business has remained steady during COVID-19 with little impact
Our business has thrived during COVID-19
Impact Severity
