GLOBAL FOOD TRADE, CHANGING CONSUMER HABITS & LOSING AND WINNING SECTORS DURING THE COVID-19 PANDEMIC

GLOBAL FOOD TRADE, CHANGING CONSUMER HABITS & LOSING AND WINNING SECTORS DURING THE COVID-19 PANDEMIC

The alternative lifestyle that started with COVID-19

In the early days, when the COVID-19 virus broke out all over the world, we observed a great uncertainty. As the days passed by, an overflow of information started dominating the world media. News bulletins or social media posts reported that people started to compete for the supply and storage of food and personal hygiene items from time to time -even by brutal force in some cases. These memories are still present in us and we never want to experience those again.

Meanwhile, our daily life got more and more determined by topics like how important it is to wear masks and why one should care about personal hygiene precautions, such as reducing contact with other members of the community. Decisions were taken by both, the individuals and governmental authorities. Staying at home was no more a motivating slogan, it needed to be practiced throughout all communities by different age groups. All these measures caused mankind to get anxious about reaching for food. Goods and service providers started structuring to meet these needs by producing solutions as fast as possible. Considering that the pandemic process emerged in Wuhan/ China in December, there have been very important changes in world trade. Some pillars, which were thought to be very strong, changed in and for the first time in world history. The virus turned into a worldwide pandemic that affected everyone routine.

The common challenges of the entire world and the change of attitude of the consumers

While on the one hand, the new global struggle was to provide access to food and personal hygiene products for the people who were staying at home, on the other scientists began to look for preventive vaccination. Local and global companies focused on providing the people with food products and services meanwhile. Nevertheless, a time of changing consumer habits began. The international trade had to face radical difficulties and brought some major changes into the people's lives as vital priorities changed and many people could not hold their personal income because of restrictions.

In fact, we can say that every individual of the world population realized that there were a few needs only: seeking shelter, accessing water and food, and thus surviving and preserving health for the next generation. During this period, sanitary, immunity and hygiene awareness were embedded in the DNA of consumers and these aspects seem to be part of us for a long time. The solution of these issues in the consumer DNA naturally causes the need for logistics and the development of additional preventions and methods in logistics.

Losers and winners of the pandemic process

Despite all the efforts and precautions taken in the past ten months, some sectors suffered serious damage, some sectors found the opportunity to improve themselves and their earnings, and some sectors realized the opportunities ahead. As the pandemic process may be recurring in the following years and we might need to be able to tackle pandemics, we need to raise awareness that a trend on a more isolated life can break out any time. Both, individual consumers as well as product and service providers have to rethink their structures. 

If we look at the sectors that have suffered the most during the pandemic and have emerged stronger from this process and the promising sectors:

• Airlines, tourism, luxury consumption, oil, mining, fair organizations, entertainment, sports banking and global distribution companies stand out as the sectors negatively affected by the pandemic process. In this article, we will not go into that detail. We can only say that reasons, such as loss of income, changing consumer demand priorities, working from home practices and countries closing their borders to protect their citizens caused losses in these sectors.

• Food; disinfectant and personal hygiene; canned and frozen food products, protective masks, overalls, clothing; pharmaceutical manufacturers and companies that publish television and video programs via the internet stand out as the winners of the pandemic. We have briefly mentioned the reasons for the appreciation of these sectors above.

• We can name the sectors and applications that have rapidly grown big and are promising based on the renewed consumer habits. These new applications are applications that meet the needs of individuals to shop without the risk of contamination and to meet their basic needs. This new style of service companies will undoubtedly be among the winners of the future.

• Finally, we can also talk about the future political winners. Undoubtedly, the secret of political success lies in ensuring a good economic management and meeting the basic needs of the people. All research surveys show that food, hygiene and health come first in the basic needs of people during the pandemic days. Politicians who want to be the winning government, must address these issues and come up with alternative solutions.

The importance of food in the future of the world

Since our subject is to thrive for sustainable, healthy and sufficient food rather than health and hygiene needs of individuals, it is necessary to focus on solutions. In order for the public to reach food, food must be produced first. It is crucial that the local food production is being supported in order to feed the public in such periods and the countries produce policies that can become self-sufficient. For this, we should provide sustainable incentives and support to agricultural producers. Local and global agricultural food supply channels should be expanded and we should provide new opportunities.

As a consequence, the most complicated problem arises. Let us assume there is sufficient food quantity produced and we have reached a good amount. So, how will this food be delivered to the consumers throughout the year and remain fresh until then? As it is known, if a large production is being practiced, the demand during the harvest seasons drops, the product prices will decrease, and some producers may even give up harvesting because of the expenses. The only solution of this problem seems to be increasing the food storage space all over the world. During the pandemic process, many countries are taking the precautions we mentioned above; and providing specific support, incentives and loans to businesses engaged in food production, processing and storage. Food that can not be kept or stored will be inevitable to be left to rot. This process has not changed in every period of history and human beings have continuously improved themselves in food keeping and storing.

Research shows that the sectors that are food producing, food processing, canning and freezed storing are the leading sectors that developed or will develop during the pandemic process. Of course, companies that produce health, hygiene and protective health equipment are among these developing sectors, but our priority is food.

We have mentioned that the way to deliver sustainable, safe, fresh and sufficient food to people in every period of the year is cold storage, canning, and frozen storage. So, who will do this? The private sector and the government are two important engines of the economy.

Where does Cantek Group stand?

The way of keeping people well-nourished by storing fresh food properly is a never ending routine. The future is all about food storing, but what is the best? Today, local or national companies purchase the products from the agricultural producers and store them in cold storages. This is also to help out with the overflow of food products during the harvest period. The wholesale markets as structures reflect a compact environment. However, it has been observed all over the world that these efforts and investments are insufficient in pandemic processes. As a solution, many countries have put state investments and aids on their to-do-lists. During the pandemic process, it has been recognized how important the cooling logistics warehouses, food centers, city center projects are that Cantek Group has designed and constructed to countries in various continents throughout the years. Private and governmental authorities have appreciated those investments.

A virtual or logistical solution depends on the real availability of the product. Therefore, it is necessary to produce and store the food products in sufficient quantity: sustainable, reliable and fresh so that we can deliver them to the people. Food processing and storage processes were the winners of yesterday and will be the winners of today and the future. Cantek Group will continue to develop solutions on producing cattle, ovine and poultry slaughterhouses and fish processing facilities in order to prevent and avoid food shortages on many geographies. We thrive for a better future for 30 years. 

I am looking forward to reaching the days when all the residents of the world, without exception, will have access to sufficient, sustainable, safe and fresh food.