Supply Chain Challenges in the Canned Poultry Industry
The canned poultry industry faces a myriad of challenges in its supply chain, from sourcing raw materials to processing and distribution. In this report, we will explore the key challenges faced by companies in this industry and how they are working to overcome them.
Sourcing Challenges
One of the major challenges in the canned poultry industry is sourcing raw materials. Poultry is a highly perishable product, which means that companies need to have a reliable and efficient supply chain in place to ensure that they have a steady stream of raw materials coming in. This can be particularly challenging for companies that rely on small or local suppliers, as they may not always be able to meet the demand of larger companies.
Additionally, sourcing raw materials can be impacted by factors such as weather, disease outbreaks, and market fluctuations. For example, the avian flu outbreak in 2015 had a significant impact on the poultry industry, leading to shortages and price increases for raw materials.
Processing Challenges
Once raw materials have been sourced, companies in the canned poultry industry face challenges in the processing stage. Processing poultry requires specialized equipment and facilities to ensure that the product is safe for consumption. Companies need to adhere to strict food safety regulations and standards, which can be costly and time-consuming.
Another challenge in processing poultry is the need for skilled labor. Processing poultry is a labor-intensive process, requiring workers with specialized training and experience. Finding and retaining skilled workers can be a challenge for companies in this industry, particularly in rural areas where the labor pool may be limited.
Distribution Challenges
Distribution is another key challenge for companies in the canned poultry industry. Once the product has been processed, companies need to get it to market quickly and efficiently. This can be complicated by factors such as transportation costs, storage facilities, and customer demand.
Companies in the canned poultry industry also face challenges in terms of distribution channels. The industry is highly competitive, with multiple players vying for shelf space in retail outlets. Companies need to have a strong distribution network in place to ensure that their products are available to consumers when and where they want them.
Industry Insights
Despite these challenges, the canned poultry industry continues to grow and evolve. According to a report by Grand View Research, the global canned poultry market is expected to reach $13.28 billion by 2025, driven by factors such as increasing demand for convenience foods and changing consumer preferences.
Companies in the canned poultry industry are responding to these challenges by investing in technology and innovation. For example, some companies are using automation and robotics to streamline their processing operations, while others are exploring new packaging solutions to extend the shelf life of their products.
Overall, the canned poultry industry faces a number of challenges in its supply chain, from sourcing raw materials to processing and distribution. However, companies in this industry are adapting to these challenges and finding ways to overcome them in order to meet the growing demand for canned poultry products.
