Foodservice

Convenience stores across Canada are scaling back foodservice operations during the COVID-19 crisis.Self-serve food items are closed or modified under provincial health guidelines and mandated closure orders.

Higher prices and less variety on store shelves is a possibility as the agriculture industry confronts a wide range of challenges created by COVID-19.

Restaurants Canada estimates that 800,000 foodservice jobs have already been lost nationwide due to COVID-19 and might not return if current conditions continue.Canada’s $93 billion foodservice industry represents 4% of the country’s GDP and many run in tandem or share sites with c-stores and gas stations.Nearly 10% of the country’s restaurants have already closed permanently, and many more might close by the end of April if conditions don’t improve.With businesses now struggling to pay rent and other bills due in April, the national association has conducted a survey to shed light on the state of the industry.

Canadians have been concerned about food supply and food prices since the start of the COVID-19 outbreak.

FCPC members report an increase in demand and production in response to COVID-19 The spread of  COVID-19 in Canada has triggered panic-buying and hoarding, and food and consumer goods manufacturers are working to keep pace.

Shoppers are facing empty shelves at some stores due to unprecedented demand for food and other goods even as grocers assure Canadians coping with the COVID-19 outbreak that plenty of new items are on the way and manufacturers say they have the raw materials they need.Temporary shortages are to be expected in spite of a supply chain working in overdrive, experts say, because the system isn't built to predict extreme, large-scale changes in buyer behaviour.Shoppers stockpile for a number of reasons, said Mike von Massow, an associate professor at The University of Guelph.

Consumers on the go are turning to quick and easy food options outside of restaurantsSupermarkets and convenience stores are turning to foodservice to drive growth and keep pace with multitasking consumers looking for easy meals on the fly.

Disinfectants, bottled water and canned goods are flying off shelves and Nielsen says this will likely shift to shelf-stable and frozen foods, tooRetailers are bracing for a run on staples like water and canned goods as consumer fears about the coronavirus continue to escalate, with Nielsen predicting it will have an “almost immediate” effect on supply chains for the most sought-after items.Nielsen said in a report that efforts to build so-called “pandemic pantries” have been particularly pronounced in China, the U.S.