A new review examines the nature and causes of these food supply chain and market disruptions during COVID-19, evaluates the economic consequences, and addresses potential market and policy responses that should be explored to reduce similar adverse effects in the future.

TOP INSIGHT
The experience of the COVID-19 pandemic highlighted the vulnerabilities of having a food supply chain in which capacity is concentrated in a handful of large firms.
The demand was negatively affected both by the near-total loss of foodservice outlets and by a consumer shift to precautionary saving.
The challenges on the supply side, discussing how COVID-induced food-processing restrictions, workers being kept at home, and a shift in protein demand from foodservice to food at home led to plant slowdowns and complete shutdowns are also needed to focus.
The meat processing sector also experienced a significant increase in production and price risks and a dramatic widening of marketing margins. These insecurities encouraged building the resilience of the food supply chain.
Researchers also pointed out that larger commercial firms have the advantage of increasing resilience through improved efficiency, adoption of technology, and global marketing.
Researchers predict that if large commercial food supply chains increase efficiency and use of automation in response to challenges faced during the pandemic, this will pose a real threat to the economic viability of smaller local and regional systems.
Source-Medindia
MEDINDIA




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