With more consumers gravitating toward private label and healthy food options, most food and beverage companies say they expect to see a significant boost in sales this year.
According to the annual US Food & Beverage Industry Study, released by WeiserMazars LLP, manufacturers are confident sales will increase 14 percent compared to 2015 and project net profits will rise by 10 percent. However, survey respondents—drawn from more than 200 companies in the food and beverage industry—say new regulations related to FDA’s Food Safety Modernization Act are a top concern in addition to rising costs in labor and healthcare, anticipated to increase by 5 percent and 11 percent, respectively.
“The dynamic nature of the food and beverage industry continues to challenge organizations looking for growth,” says Louis J. Biscotti, WeiserMazars partner, who leads the food and beverage practice. “Through this survey, we're pleased to provide executives with comprehensive insight into potential industry drivers and best practices to stay ahead of the competition.”