Top 3 Challenges in Supply Chain for the Food Industry

TOP 3  SUPPLY CHAIN CHALLENGES ACROSS THE FOOD INDUSTRY

Supply chain across Food Industry is a big challenge. The basic problem is in the kind of products across supply chain which is perishable. Unlike other industry the inventory has to be very tightly controlled so that products are fresh and losses minimized

In the past, most food companies dealt with supply chain risk after-the-fact through product recalls—and by switching suppliers once problems were detected. In an increasingly complex marketplace, the traditional approach just isn’t good enough.

 Tracing a food problem back to its source is complicated by multi-tiered supply networks and divergent standards for food quality and safety around the world. For example, various countries that produce rice allow different levels of arsenic (which is used to control pests). This means that rice may be deemed safe and legal to sell in one market but not in others. Regulations and standards are continually evolving and present a challenging risk. In the U.S., for instance, federal lawmakers are expanding the authority of the Food and Drug Administration to include the ability to shut down operations that fail to comply with the law.

 The supplier in the food industry  is a big variable and is a  crucial factor in deciding the success of the supply chain, as the raw  stock of the food  is the most precious and important part of the inventory forecasting. Apart from quality and consistency, adulteration is another risk.The entire ecosystem  Farmers, to the cold storage  to the suppliers  play a big role in ensuring the effectiveness of the supply chain  across the Food Industry.