Food and Beverage Industry Concerned About Impact of 'Credit Crisis'

In a survey conducted by Clear Seas Research on October 13th, food industry insiders expressed concern over the impact of the current credit crisis -- both on their companies and on the food/beverage industry as a whole.

While some believe the credit crisis will have "very little"or "no impact,"most (74%)anticipate "moderate"to "great impact"on their company's business/operations. On a macro-level, most (82%) believe that the current economy will have a "direct impact on the overall food and beverage industry."

At the individual company level, insiders express concern with liquidity (daily working capital) and their company's ability to make purchases;a majority (73%) anticipate increased/further industry consolidation in response to current economic times.

Insiders expect the "foodservice"segment to be most negatively impacted by current economic conditions, while "meat/poultry/seafood"and "retail"are also expected to struggle.