Value for money tops F&B industry's opportunities as cost pressures bite

More than half of businesses expect to be more profitable in two years.

The food, beverage and agriculture industry is prioritising value for money above all else as consumer budgets tighten, according to the Global Food, Beverage and Agriculture Risk Report 2026, published today by Willis, a WTW business.

When asked about their greatest opportunities over the next two years, 52% of respondents named value for money as their top priority.

Technology is the industry's favoured tool for getting there. Some 44% of businesses named artificial intelligence as a top opportunity, followed by new production technologies at 43% and increasing automation at 37%.

Investment in AI and automation has accelerated sharply as companies test use cases ranging from speeding up production and reducing headcount to optimising supply chains and improving quality control. Whether those investments deliver savings at the scale the industry is hoping for remains to be seen, the report noted, adding that increased reliance on operational technology also raises cyber risk.

On menus and product development, the survey points to a renewed interest in specialist diets after a dip in the previous survey linked to the decline of fake meat products. More businesses named organic foods, veganism and vegetarianism, lab-grown meat and flexitarianism as opportunities compared to 2024.

Genetically modified foods were also seen as a greater opportunity than before, though interest varied by region, highest in North America at 39% and lowest in Europe at 30%, where concerns about GM technologies persist.

Strategically, the sector is pulling back from acquisition-led growth and refocusing on building from within. The share of businesses naming acquisition as a key objective fell from 38% to 29%, whilst organic growth rose from 30% to 37%, with Asia Pacific showing the strongest appetite at 44%.

Sustainability remained amongst the sector's leading strategic objectives at 35%, despite a broader row back on the ESG agenda in many countries.

Confidence, meanwhile, remains intact. 53% said they expected their business to be more profitable in two years than it is today, compared to just 16% who said less profitable.

The report noted, however, that the survey was conducted just as the conflict with Iran was beginning, and that a subsequent surge in inflationary pressures may have since tested those expectations.

The survey spans businesses across food growing, production, processing and manufacturing, dairy, brewing, distillery, soft drinks, restaurants and foodservice.