Monday, August 12, 2013

Trends in Drink and Food Distribution, Processing and Manufacturing


Image Courtesy: http://www.fooddrinkeurope.eu
It is constant collaboration that connects those entities that are involved in a supply chain which makes it significant. Before the Philippine food and beverage industry came up with their rules and regulations to facilitate order and a controlled state, the farmers would simply produce a food item and then go to the towns to look for potential customers. They made use of this primitive strategy for a long time, hoping that their gamble would pay off and they would be lucky to get buyers. The buyers on the other hand were hoping that the prices of the food items would be fair and affordable. Nowadays, this method of commerce still applies, but depending on how long the supply chain is, further discussions or negotiations may occur before the merchandise is eventually delivered to the consumers.

The current focus of the Philippine consolidator is what the customer needs instead of what the supplier is willing to provide. In an international food chain, the farmers will not initially manufacture and then search for a market. What happens is that the people who control the supply lines will choose what they think the consumers require, or can be encouraged to want, and then push through with designing the chain of supplies which are needed to deliver the items.

The merchandise can be customized to cater to different consumer preferences from the start. The bottom line is that food delivery channels are powered by demand, to the point that the members of the food and beverage industry would be better off discussing consumer demand instead of the supplies.

So that it will be easier for the Philippine consolidator to closely study the international food chains, it is a good idea to make use of the evolving processes of international value chain studies. It examines the value put in a commodity as it goes through the supply chain.