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Tetra Pak: “Online grocery shopping is growing at a double-digit rate”

Online grocery shopping is growing at a double-digit rate, while traditional stores are being reinvented, merging together into an omnichannel where consumers expect to be able to buy whenever, wherever and however they choose, with the smartphone as their compass. Packaging will play an important role in response to the trends that are shaping the growth of on-line grocery, says the company.

The Tetra Pak Index 2018 highlights the four key trends shaping the growth of on-line grocery:

  • Convenience The main driver for on-line consumer take-up, as time-crunched consumers look for new ways to make their life easier. Key opportunities include easy product replenishment, voice, and convenient packaging
  • Sustainability Pressure on plastic and awareness of the circular economy will continue to grow, and recycling will become ever more important. Consumers want to know whether brands are ‘doing the right thing’
  • Personalisation & uniqueness Customisation of products and personalisation in the consumer journey will be important differentiators going forward. This is accelerating the direct-to-consumer trend and as many as 80% of consumer-packaged goods companies are predicted to migrate to this model by 2025
  • Technology & performance Super-fast delivery in as little as 10 minutes is expected by 2025, changing consumer behaviour to buy more frequently and in smaller amounts, adding more complexity to the logistics. Supply chains will continue to be transformed by a raft of technologies, notably radio-frequency identification (RFID) and robotics, boosting efficiency and transparency

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FAO Dairy Price Index goes up

The FAO Dairy Price Index averaged 216.6 points in July, up 7.6 points (3.6 percent) from June and 74.3 points (52.2 percent) above its value in July 2016. Despite this latest increase, the Index is still 21 percent below its peak reached in February 2014.

International prices of butter, cheese and Whole Milk Powder (WMP) increased, but those of Skimmed Milk Powder (SMP) declined.  Tighter export availabilities pushed butter prices to a new high in July, widening the spread between butter quotations and other dairy products further. While strong buying activity from Asian importers also underpinned cheese and WMP quotations, SMP prices were weighed down by slack demand and prospects of larger releases from the intervention stocks in the EU.

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