The ongoing coronavirus pandemic is a global health crisis. Moreover, it is disrupting the entire economy and soon it can lead to a food security crisis if adequate measures are not implemented. Although currently there is an adequate supply of staples, fruits and vegetables, there is a threat of food security in the long term. Besides, restrictions on transportation are posing a challenge to food logistic. Owing to this, food processing industries have to suspend production. Additionally, the shortage of manpower and falling demand for agricultural products are further affecting the production.
Besides, consumer products i.e. food and beverage companies are seeing significantly reduced consumption. On the other hand, supply chain disruption is another worry among these companies. Therefore, the overall margins of these companies have reduced.
Furthermore, in the near future, there might be a shift in customer behaviour and demand. Consequently, the demand for food is directly linked to income. Hence, loss of income-earning opportunities is likely to impact the food demand and consumption.
The statistics below are taken from Industry data available pre-Corona virus impact.