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Cereal products and rice

Cereal products and rice

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Global Food Manufacturing Reorients To Meet New Demands

  Consumer-driven adjustments in food supply chains are shaping the strategies and realignments of food manufacturing firms as they strive to take advantage of the shifting and new demands of global consumers.

Global food manufacturing comprises a wide array of industries, each using different inputs and producing goods that require specific marketing expertise and brands for individual markets. Unlike other manufacturing industries, such as the automobile industry, the chemical industry, and the pharmaceutical industry, the food industry is not dominated by large firms with manufacturing facilities in a few locations. Rather, manufacturing activities are dispersed across the globe, as manufacturers prefer to locate their production units relatively close to their consumer base. Both large and small food firms have unique advantages that allow them to coexist in common markets. In the United States, for example, the largest firms are further expanding and, at the same time, many smaller firms are entering the market (Rogers, 2001).

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