Daily Management Review

Kraft Heinz chief urges customers to get used to high food prices


Head of Kraft Heinz said that consumers should get used to high food prices. The cost of food, according to him, will continue to rise due to the lack of suitable land for growing food. The UN had earlier reported that global food prices were rising to a 10-year high.

Shoppers around the world should get used to high food prices. This was stated by Miguel Patricio, CEO of the American corporation Kraft Heinz in an interview with the BBC. 

According to him, prices have risen for several reasons: the pandemic has disrupted supplies of the resources needed to produce food, supply has not kept pace with growing demand as economies recover, and rising wages and energy costs have pushed producer costs up. 

Patricio said that in the future, food costs will continue to rise as the world population grows but the amount of land available to grow food does not. The only way to remedy the situation is through technology that will "increase the efficiency" of farms, the Kraft Heinz chief added. 

Earlier this week, the UN Food and Agriculture Organisation (FAO) reported a rise in global food prices to a 10-year high. According to the organisation, the food price index averaged 130 points in September, the highest since 2011. Overall prices rose 32.8 per cent year-on-year last month.

source: bbc.com