16 March 2022
Senior researcher foresees grower opportunities
Khalid Peerbaccus, Senior Researcher at data and analytics company GlobalData which regularly provides insights on the UK supply chain and consumer trends, talks about the impacts on potato prices resulting from the Ukraine crisis.
It's been widely reported that UK food prices will spike as a result of the crisis in Ukraine.
These price hikes are going to shape new shopping habits over the coming months and will most likely be felt by the 55% of shoppers in the UK who say that they are concerned about their finances. With a likely slow-down in imports and exports, this may encourage consumers to look at local produce rather than relying on costly imported goods.
At present, 20% of shoppers in the UK admit that retailers with local ingredients are a big factor in deciding where they do their grocery shopping. Investing in local businesses and locally-sourced produce will help the country to become less reliant on imports and reinforce the message to growers that we need to produce more.
However, this will not be an easy task, as the impact of inflation will be felt by the farmers down to the consumers. But with the likelihood of the situation being drawn out for months, it seems to be in the best interest of the UK to become as self-sufficient as possible.
Either way, people are going to feel the pinch this year as food prices continue to rise. The UK is set to see long-term fallout from this inflation, as it is further exacerbated by Brexit which has created drawn-out challenges to trade and additional rules and regulations for British farmers to comply with.