Food Industry Faces Challenges Communicating With Consumers

October 3, 2017 06:07 AM
Laying Hens

Pressure from consumers is shaping how grocers and other retailers seek food from the farmers who supply them, and a lack of understanding about production agriculture could threaten the supply chain, says Chad Gregory, CEO of United Egg Producers.

“We need this definition of sustainability answered,” Gregory said during a panel discussion on the protein supply chain at the 2017 Global Sustainability Summit in Nashville, Tenn. The event is jointly organized by the Food Marketing Institute and the Grocery Manufacturers Association.

Many grocers have asked egg producers to move to cage-free production by 2025, he says. That means the egg industry must add 200 million or more cage-free laying hens in less than a decade. He argues “massive two-way communication” is needed to get on the same page about expectations and costs.

There’s no question protein demand is shifting, and the industry needs to stay in tune with consumer needs, adds Jill Kolling, sustainability leader with Cargill Protein. A year ago, the company dropped the word “animal” from the title of its protein division to reflect growing interest in food products with plant-based proteins. Cargill recently invested in Memphis Meats, which seeks to grow meat in the lab.

“However, we know global demand for [conventional] protein is going to grow,” Kolling says. “The global population will increase by 2 billion between now and 2050.”  

Speaking as a scientist, says Roger Cady, senior technical consultant and global sustainability lead at Elanco, consumers and other supply chain stakeholders need to realize humans have evolved to be omnivores. Consumers can enjoy a mix of animal- and plant-based products in a healthy way, he says.

“A black-and-white world doesn’t solve sustainability issues,” he says.

Farmers and other supply chain stakeholders need to partner with nongovernmental organizations (NGOs) such as World Wildlife Fund, Gregory says. “You have got to open your doors up,” he says. “Consumers expect you to find solutions together.”


A Brief Guide To sustainability organizations In Agriculture

Numerous groups and programs, some of them traditionally outside of agriculture, are increasingly focused on working with producers and other stakeholders in the food supply chain to achieve environmentally sensitive food production.

  • Environmental Defense Fund:
  • Farmers Assuring Responsible Management (FARM):
  • Field To Market:
  • The Nature Conservancy:
  • U.S. Roundtable For Sustainable Beef:
  • World Wildlife Fund:
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Spell Check

Nowhere , IA
9/28/2017 07:26 AM

  Sounds great! I feel I must point out though that turning a needs based industry into a service based one is gonna cost ya. I'll do whatever you think I gotta do but your gonna have to pay to make it work.

Craigville, IN
10/5/2017 07:27 PM

  Farmher and David, I'm not sure why you think that if you produce "organic" sustainably grown" and "clean" products that you would have to do it a commodity prices. Been in this business for 30 years and the customer base who want to buy those products are more than willing to pay a "premium". After many conversations with many consumers, they think that this is what food should cost and they keep trying to tell conventional agriculture that by letting conventional farmers sell their products at a "discount", until they figure it out. If you produce a commodity, by definition, you sell it at a market clearing price. Why wouldn't you want to produce something that consumers WANT and are willing to pay for?

Nowhere, IA
10/6/2017 10:41 AM

  Well Kenn, I am happy to do what the consumer wants, however, I do not only compete with farmers in this country, I don't even compete with farmers from other countries. I know compete with the governments and treasuries that back farmers in other countries. I know that if Americas clean eating, organic, citizens think they can get truly organic food cheaper from other countries, they will. This is why food cost will always be limited to worldwide market prices.


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