Takeaways
SUMMARY: Inflation and massive Covid outbreaks in China amid that country’s loosened pandemic restrictions cast shadows on th e pace of recovery and pose potential disruption of product flow in the coming year. Meanwhile, Operators and Distributors are learning how to compete in an environment of increasing sustainability regulation at state and national levels across North America.
▪ Although supply chain problems appear to be receding, mainly because operators have solved for handling shortages and delays, inflation and the specter of recession are putting forth new hurdles for operators to jump over after already being depleted by the last couple years of the pandemic. Signs point to a challenging first half with the latter part of 2023 brightening as we emerge from high inflation and a soft economy. Sustained attention to consumption, production and strategic inventory planning is critical for chain restaurant operators tightening belts and regaining confidence in the global supply chain through the next few months. ( Technomic) ▪ The U.S. announced new COVID-19 testing requirements in late December 2022 for all travelers from China, joining other nations imposing restrictions because of a surge of infections. China’s “zero CO - VID” policies had kept China’s infection rate low but f ueled public frustration and crushed economic growth. This move indicates high-level concerns about the scope of renewed Covid activity in China and its potential for global disruption. (Associated Press)
511 Foodservice offers the industries widest selection of packaging and consumable supplies for restaurant and foodservice operations, helping your organization overcome and succeed, whatever the challenge!
• 511 Foodservice’s depth and diversity of manufacturing sourcing options has kept supply flow robust and consistent to distributors and
restaurant companies throughout the twin pandemic and supply chain crises of the past few years. We continue to invest heavily to keep our
performance in this area in tip-top shape!
• 511 is vigilantly monitoring and proactively planning for changes to come as a result of evolving environmental regulation of the foodservice
packaging industry.
• And our Canadian customers can select from our company’s wide variety of approved alternatives to banned plastic foodservice prod ucts.
• REMINDER: Chinese New Year 2023 is celebrated January 21 – 27.
Q1 2023 Market Update
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