High farming prices and labor shortages hurt food-makers’ profitability

M

Medium RISK for entreprises

  • Fragmentation

  • Internationalization

  • Capital Intensity

  • Profitability

  • Fragmentation

  • Internationalization

  • Capital Intensity

  • Profitability

Updated in 2022
  • Farming upstream segment enjoys high selling prices
  • Strategic sector usually supported by state aid in any case of social uprising risk
  • Agrifood demand fueled by Asia’s new middle class and larger disposable incomes
  • Resilience to periods of supply-chain disruptions as the global vaccination campaign expands
  • Rising demand in the market niche of organic food and responsible farming principles
  • Fierce price competition among food-makers in mass retailing
  • Environmental concerns related to the heavy use of pesticides and water, on top of the necessity to reduce upstream greenhouse gas emissions.
  • Labor shortages in the beverage segment, especially across Western Europe.
  • Food processing companies’ limited pricing power against wholesalers and retailers.
  • Food safety related to changing food supply/demand dynamics locally and globally.
Trade credit insurance covers your receivables due within 12 months so that your cash flow is safeguarded.

Our information tracks the financial health of your customers and we update you so that you can trade with confidence.

If your customers become insolvent or fall into protracted default, you will be indemnified for the cost of goods and services you have delivered.

Key players

Country Role Sector risk
China

#1 market by revenue

B

Medium risk

United States

#2 market by revenue

C

Sensitive risk

Germany

#3 Market by revenue

B

Medium risk


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