cga prestige foodservice price index (fpi) · high temperatures in morocco have kept citrus exports...
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Price Index (FPI)Monthly Snapshot - December 2017
CGA Prestige Foodservice
Your source for accurate data, analysis and insights into today’s food prices.
97.297.9 98.1
98.9 99.3 99.5 99.6 99.4 99.2 99.4100.2 100.6
101.1
102.8
101.5 101.8102.4
106.7106.0
109.2110.0
108.4
110.8
108.8107.8
106.2
96.0
100.0
104.0
108.0
112.0
Nov-16 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17
CPI FPI
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To receive the full volumetric data, detailed category and subcategory performance and a more in-depth analysis, please [email protected] or [email protected] to purchase.To receive the full volumetric data, detailed category and subcategory performance and a more in-depth analysis, please [email protected] or [email protected] to purchase.
CGA-Prestige FPI Report - December 2017
Wheat crops have been low throughout the year though a revision
towards the end of the year showed some improvement. In the UK,
domestic grain demand had increased due to wintery conditions
affecting imported grains, as the European markets’ wheat prices
remained under pressure.
The fish category has remained volatile as demand and price have
both fluctuated. Due to recovering fish stocks in the North Sea, a new
deal has been reached which will increase the quotas of certain species.
Prices for fresh produce have been pushed up by severe shortages
in some items. High temperatures in Morocco have kept citrus exports
down, and banana crops also faced a severe shortage – particularly the
Cavendish banana crop, which has been affected by a soil born fungus.
Meat prices continued to be affected by high inflation. Beef sales
volumes were down but sales values were up, indicating higher prices,
but in contrast chicken sales values were down and sales volumes were
up, resulting in lower prices. Some observers (ourselves included)
are forecasting changes in the meat sector as Western diets become
more plant focussed. They argue that as the negative impacts of meat
production become a global focus, taxes may be introduced to reduce
consumption.
At a commodity level, the dairy category has remained volatile
because of shortages in the supply of butter. Milk prices increased as
production cost increases were finally passed onto consumers. Due to
an increase in overall supply, egg prices decreased.
In light of the introduction of the sugar tax, beverage manufacturers
are rushing to lower the sugar content of their products. The levy will
be imposed at a rate of 18p for soft drinks which contain more than 5g
of sugar per 100ml and 24p per litre for soft drinks that contain more
than 8g of sugar per 100ml.
The global vegetable oil market is anticipated to continue to grow
at a steady rate and is expected to post growth of more than 4% during
the latest forecast period. Health benefits associated with olive oil are
expected to drive growth for this element of the global vegetable oil
market. Olive oil is recognized as one of the safest and healthiest oils
for consumption.
Foodservice Price Inflation (FPI) is at 3.4% year-on-year for November 2017.
This month’s FPI figures show that for the first time since the data has been available, inflation in our sector is lower than in the (largely retailed
oriented) CPI measure, which is showing 4.0% inflation year-on-year. However, the cumulative impact of price movements does mean that foodservice
prices have still moved upwards over that two to three year period.
CGA Prestige Foodservice Price Index (FPI) - Monthly Snapshot
Food & Non-Alcoholic Beverages - FPI vs CPI
Executive Summary
+3.4%
Prestige Purchasing are a leading expert in Value Chain. We provide knowledge, insight, and practical support to hospitality and foodservice businesses. We improve profitability by improving the way in which our clients source and manage what they sell. Our services are tailored to allow us to assist businesses of any scale in the sector. Offering a bespoke consultancy based model we offer services contextualised in the statements below for our clients. Supply OptimisationFor growing businesses that have not yet established a mature supply chain function we provide outsourced services that deliver profit improvement through the application of best in class techniques, using our team of experienced and capable buyers.
Procurement TransformationFor established businesses that have yet to establish “strategic procurement” and wish to introduce national, regional or global supply arrangements, often establishing their own team to develop and maintain them. Procurement Support ServicesA portfolio of services to support fully established procurement and supply chain teams in their mission to add value to their organisation. Services include Insight, Training, Analytics and Benchmarking. Our services are 100% Transparent FIXED fee based and deliver between 2 and 7 times return on investment all backed up with financial guarantees. We do not aggregate volume with other operators and build each project or service bespoke for each of our clients’ needs delivering the maximum benefit to our clients bottom line.
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CGA is the data and research consultancy of choice for the out-of-home food and drinks market, specialising in market measurement, consumer research and location planning.
What sets CGA apart is its unique ability to access the three key types of data (supply, demand and consumer) and then triangulate this data to provide the most complete and accurate picture of anyone in the out-of-home sector.
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