Bord Bia Forecasts Irish Foodservice Market To Return To Pre-Pandemic Levels
According to a new report launched by Bord Bia today, the Irish foodservice market will grow by 11% on last year to reach almost €5 billion by year end, with an additional 56% (€2.8 billion) growth predicted for 2022.
Last year, following eight years of consecutive growth, the foodservice market fell by a stark 47% (from €8.5 billion to €4.5 billion) and Bord Bia believes it will be the end of 2022 before the majority of the industry could return to close to the pre-pandemic levels of trade.
provided preliminary forecasts for the Irish foodservice industry’s recovery in 2021, but the ongoing restrictions have been more longstanding and impactful than originally estimated.
In response to the ongoing impact of COVID-19 on Ireland’s foodservice industry and the knock-on effect on Irish food and drink producers, today Bord Bia is publishing revised outlooks and a new report charting growth forecasts for the remainder of 2021 and into 2022, as the industry moves towards a full reopening from early July onwards.
Irish Foodservice Industry Post-Pandemic
The ‘Outlook on the Irish Foodservice Industry Post-Pandemic’ report, co-authored by global foodservice research specialists , has been developed to equip the industry, and Irish food and drink suppliers servicing this market, with up to date data and insights as they plan for the period ahead and includes key trends and recommendations for businesses across the sector.
Speaking today Maureen Gahan, foodservice specialist, Bord Bia and report co-author, said, “Our end of year Market Insights report published in November 2020 documented the huge hit that the industry had taken as a result of COVID-19. At that stage we estimated that even in a worst case scenario, 2021 would see growth rates of 16%, however we had not anticipated the length nor depth of the lockdown that was to follow.
"This has resulted in a lowering of the overall expectation for growth in 2021 to 11%, lower than the “worst case” scenario” laid out late last year," she said.
"That being said, foodservice in Ireland has displayed resilience in the face of the most prolonged shutdown in modern memory. The industry has shown adaptability, perseverance and tenacity to survive, and with the assumption that the worst part of the crisis has passed, will begin to emerge and grow again in 2021 and beyond," she added.
Prolonged And Significant Changes
David Henkes, senior principal, Technomic and report co-author believes that Ireland’s foodservice industry, and the Irish food and drink suppliers servicing this market, are facing prolonged and significant changes due to the global pandemic, and many of these shifts will be permanent.
“This report highlights the key trends that have been identified and/or accelerated over the past 12-14 months," he said.
"For example, with the strong demand for off-premise food (including delivery, takeaway and drive-thru), restaurant models are adapting to accommodate what is widely expected to be elevated demand, even as the pandemic ends. Seating areas are being re-thought, with more outdoor space being added."
© 2021 Checkout – your source for the latest Irish retail news. Article by Donna Ahern. For more Fresh Produce news, click here. Click sign up to subscribe to Checkout.