According to Lusk, the following disrupters could impact the pork industry in the next three to five years.
Ag and Food Tech Innovation
• Consumers are shifting from being focused on food security to a greater interest in sustainability and food quality.
• Venture capital investment in food and agriculture startups remains strong, despite the pandemic.
• Productivity/innovation is the cornerstone of sustainability. Fewer, more efficient animals mean less greenhouse gas emissions, less land use, resulting in reduced environmental impact.
• The current inflation rate is about 4%. The question is, is this a temporary blip in inflation rates, or is it here to stay?
• During most recessions, personal savings rates remain low, but consumers have been increasing their savings recent months.
Food System Realignments
• Forward and backward integration in the food industry continues to grow.
• Increasing pressure to prove sustainability claims will continue driving food system realignments.