Industry Viewpoint: Lessons and opportunities from COVID-19

Date: 
Tuesday, 23 June 2020 - 7:00am

rickIt’s an understatement to say that this is has been a most unusual year. But even with all of the upheaval and concern, there is a certain comfort to be taken from the regular routine of nature, from the welcome emergence of favorite and familiar flowers to the sheer enjoyment of the first fruits of the season. I swear one of the best strawberries I ever ate came from the first in-season quart I bought in May.

That point is underscored in the renaissance of home gardening and landscaping. The 2020 version of World War II-era Victory Gardens is evident in many people’s social media posts and pages. Many garden centers, seed companies and landscape businesses reported high-traffic and strong growth this spring and early summer.

While there is a DIY element to some new habits, especially as people have hunkered down at home, there is a strong parallel interest in buying fresh foods. As people seek to shore up their health — and perhaps balance out their consumption of packaged pantry staples — they are buying and ordering more fresh produce from their regular grocery stores. Meeting a surge of demand, many smaller markets and farmstands that ship directly to consumers have found an eager new audience, too. A recent Mintel analysis of protein and produce in the COVID-19 era projected that fruit, vegetables and legumes will benefit from growing interest in foods that promote health and well-being in difficult times. You can bet on the fact I am going to continue to eat to help eliminate underlying conditions, that is for sure.

To gauge consumer attitudes and behaviors in the new marketplace, we conducted several waves in what will be a series of market insights. According to the FMI U.S. Grocery Shopper Trends COVID-19 Tracker conducted through early May in partnership with The Hartman Group, more adults across all geographies and generations report that they are cooking more of their own meals (42 percent), planning more in advance (26 percent) and more successfully avoiding food waste (37 percent). This bodes well for the future of produce sold at retail.

As people prepare more of their own meals while also striving to safeguard their health, they are likely to continue what has been a strong pattern of incorporating a greater amount of fresh and plant-based foods into their diets. The Power of Produce 2020 report (released before the pandemic) found that just about half (49 percent) of shoppers stick to a certain way of eating, including lifestyles and diets that are organic, gluten free, non-GMO, etc.

There are many opportunities to reach these engaged, concerned consumers with more and different products. According to the latest Power of Produce, shoppers want to see an expanded assortment of produce, including local, seasonal and U.S.-grown selections.

Delivering on expectations for a wider, more diverse assortment of fresh produce has been challenging in some parts of the country, due to the disruptions in the supply chain stemming from this year’s crises. One tool in overcoming such challenges is the new Food Industry Exchange [FMI.org/TheFoodIndustryExchange], a subscription-based digital platform that matches members with suppliers and wholesalers around the country in a secure, real-time and verified way.

FMI worked with software company The Seam to quickly create and offer this resource at a time when new connections were urgently needed to avoid immense business loss and product waste. Already, the platform has resulted in many new relationships between previously unlinked members in the supply chain, and we expect its use to continue even in blue sky times when partnerships present opportunities

If nothing else, 2020 has taught us the importance of appreciating nature’s resilience, learning new skills and pursuing innovative avenues for growth. I wish you a bountiful — and smooth as possible — summer.

To learn more about the new Food Industry Exchange and keep up with the latest U.S. Grocery Market Trends research, visit fmi.org. I’m also happy to answer any questions – reach out to me at or on Twitter at @Ricks_FreshFood.

(Rick Stein is the vice president, fresh foods for Food Marketing Institute)

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About D. Otani Produce

In business since 1989, D. Otani Produce, Inc. has grown into one of Hawaii’s largest produce wholesalers, enjoying business with hotels, restaurants, local business institutions. We are also a major distributor to Hawaii’s retailers.

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D. Otani Produce
1321 Hart St
Honolulu, HI 96817

Phone: (808) 509-8350

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