The challenges facing warehouse and supply chain logistics professionals are complex and interconnected, from skilled labor shortages and rising business costs to changing regulatory demands, shifting consumer expectations, and geopolitical tensions causing shipping and supply issues.

While addressing these problems may seem insurmountable, smart technology and automation can provide the direction for change, helping warehouse managers to address these pressing issues holistically while also ensuring alignment with broader supply chain traceability goals.

Global Business Challenges

If the last few years have been dominated by an increasingly challenging business climate, 2025 looks set to continue that trend. As Deloitte’s 2025 manufacturing industry outlook states, “manufacturers are expected to continue to face a challenging and uncertain business climate due to a combination of higher costs, potential policy changes following the US and global elections, and geopolitical uncertainty”.

Raw material and other input costs are expected to grow, increasing the cost of business operations, while finding and retaining skilled workers will remain problematic. Anticipated policy changes following global elections and other geopolitical events may also impact supply chains, demand, and long-term investment in manufacturing. Changes to trade policy and tariffs could affect international regulations, drive up raw material and component costs, and have ripple effects throughout the supply chain.

At the same time, consumer expectations for faster delivery times, ‘Amazon-like’ distribution capabilities, and greater supply chain transparency, are adding to the pressure on supply chain and warehouse leaders.

This complex set of interdependencies is prompting businesses to look for ways to increase productivity and do more with less: producing and shipping goods faster without increasing costs. This calls for operational agility and efficiency, with optimized workflows and near real-time visibility of supply and demand to manage disruption and shortages and fulfill orders seamlessly and transparently.

One could be forgiven for likening this to an impossible challenge; however, in today’s modern era, help is at hand in the form of smart technology and automation.

The Case For Warehouse Automation

Businesses have been investing in warehouse automation for decades, using technology to automate routine, repetitive, and manual processes, including picking, palletizing, data entry, transfer and analysis, stocktaking, quality control, and shipping.

This trend has increased significantly in recent years with technological advancements. In 2023, 60% of warehouse managers reported plans to increase their automation budgets by 20 percent in 2024, while globally, the warehouse automation market is expected to grow from $19.9 billion in 2022 to $54.6 billion by 2030. Similarly, the warehouse robotics sector is growing at a rate of 20 to 25 percent annually, according to Statista, while McKinsey reports that robot shipments are expected to increase by >50% per year through to 2030.

The benefits of warehouse automation are significant. These include reduced human error, increased productivity and efficiency, and — critically — access to real-time data to unlock visibility of what is happening both within the warehouse and in the upstream and downstream supply chain. Indeed, it is this real-time data that interlinks and underpins solutions to the operational challenges leaders face today.

The warehouse management system, or WMS, is at the heart of warehouse automation. To successfully and holistically increase productivity, optimize operational agility and efficiency, and meet consumer and regulatory demands, businesses must ensure that the correct data feeds into, through, and out of the WMS.

Machine-readable codes and identification technologies, including GS1 QR codes, barcodes, and RFID tags, can help to enable seamless data flow from the production line into the warehouse. At the same time, vision systems can be used not only to verify the accuracy of these codes but also to ensure reliable data transfer and effective sorting of products. Within the warehouse, automated barcode and RFID scanners can further facilitate data transfer – speeding up stocktaking and enabling traceability of products moving through the system. Warehouse managers can also elect to utilize robots, cobots, and safe print and apply labelers to assist human workers with routine tasks like packing, picking, sorting, and pallet labeling – further streamlining processes and reducing the risk of injury. All this can be complemented by many and varied smart technologies, such as adaptive coding and marking systems, pallet and parcel dimensioners, and variable height vision systems equipped with ‘liquid’ lenses to manage diverse package sizes and ensure precise measurements for efficient shipping.

When properly integrated, smart systems and technology utilized on the production line and automated warehousing solutions will complement one another and support the flow of data into the warehouse and out into the wider supply chain – a crucial link in the chain for complete supply chain traceability.

A warehouse manager’s ultimate goal may be to achieve a fully automated ‘lights out’ warehouse, a smart and dynamic facility where streamlined data flows in and out and which incorporates the use of artificial intelligence (AI) and/or machine learning to analyze data patterns, predict potential issues, and further streamline operations.

But, how do we get there? With EY citing that between 30 to 50 percent of robotic process automation projects fail globally, and Gartner predicting that at least 30 percent of generative AI projects are likely to be abandoned after proof of concept by the end of 2025, taking steps to identify and address pitfalls early is fundamental.

Making Automation Work

The three most commonly cited barriers to warehouse automation are poor planning, lack of integration, and workforce readiness. Businesses need to plan and tread carefully – as unclear business value and misaligned or incompatible systems will inevitably lead to workplace confusion, data silos, a lack of communication, and the inability for data to flow seamlessly. And, of course, organizations should not underestimate the importance of workforce readiness. The move to automation will demand a digital fluency and familiarity with information and processes that may need traditionally trained production line workers to be upskilled before embarking on a project of such significance.

Fundamental steps to take are:

• Plan and execute carefully. Understand your business case and key success metrics. Start slowly: pick off your ‘low-hanging fruit’ that will deliver early success and inspire confidence. Monitor and adapt.
• Collaborate for success. Identify suppliers that are willing to work together to ensure that their solutions can integrate with your existing systems, particularly your WMS.
• Align with your upstream supply chain and production partners to ensure the optimum quality of readable barcodes, 2D codes, data coming into the warehouse.
• Align with downstream supply chain partners for complete transparency throughout the wider supply chain, particularly within a retail/consumer environment.
• Bring your workforce along with you. Identify potential skills/digital literacy gaps and invest in training upfront. Involve your workforce in potential applications for automation where early wins can be achieved.

The warehouse is arguably the lynchpin in today’s supply chains, the single point where upstream and downstream distribution points collide. Ensuring warehousing efficiency, productivity, and operational visibility is key to an organization’s ability to navigate – indeed, conquer successfully – modern business demands.

Yet the challenge is complex. Working with a trusted partner with experience and expertise in providing production line and warehousing solutions designed for integration and data transfer will set you on the right path and support your direction of change.

Contributor Info: Toby Odlin, is head of group logistics and supply chain projects, Domino Printing Sciences, Andreas Olsson, is global sector manager – logistics and distribution, Domino Printing Sciences, and Paul Stinson, is sales director, Lake Image Systems

The post Efficient, Connected, Transparent: Automated Warehousing In Modern Supply Chains appeared first on NCA.

Washington — Picture this: You’re introduced as the presenter at a dinner meeting, just as a tray of whipped cream desserts accidentally dumps down your shoulder! What do you do? This happened to me!

There’s a reason studies show that most people rank the fear of public speaking higher than death. As you might have guessed, I didn’t die from wearing whipped cream; I brushed it off, stepped up to the podium, and carried on.

As a presenter, your goal should be to make your audience comfortable with you and with themselves. People are most open to receiving and retaining your message when they feel at ease.

Presentations have evolved from “all live” with overhead projectors to PowerPoint and, in 2020, the big shift to virtual presentations. Whether live or virtual, each format requires specific skills that should be practiced, but the goal remains the same.

Let’s start with some core principles for presenting, regardless of medium.

Know Your Audience

Who are you speaking to? Are there experts in the room, or is this new information for everyone? Never talk down to your audience; explain in simple terms. The goal isn’t to show how smart you are but to effectively communicate your knowledge. Avoid using too many acronyms, and if you must, explain them. Too many unfamiliar terms can distract your audience from your main points. It’s better for your audience to remember one or two key takeaways than to be overwhelmed by jargon, data, and charts that dilute your message.

Focus On Relevance

Keep the “so what?” in mind. Why should your audience care? People process information through the lens of how it affects them. Make your presentation relevant to the individual. Provide insights that make their daily or work life easier or helps them look smarter to their manager.

Presentation Structure

A good structure is key: tell the audience what you’re going to say, say it, and then summarize it. This simple format helps them stay engaged and retain information. When using PowerPoint or similar tools, follow best practices for style, font size, and word count per slide. Less is often more. If the text is too small or the charts are too busy, the audience will be distracted. If there is a language barrier, more words may be helpful so people can read at their own pace. If graphs are difficult to decipher, take the time to explain the main concept.

Now, let’s look at the type of presentation and how to adapt for each one.

Live Presentations

Preparation for live presentations should be consistent, regardless of audience size. When you can see your audience, you can read their feedback to adjust your pace, check interest, and ensure understanding. Be flexible — skip slides, move around, or adjust the lighting if needed to keep the audience engaged.

Your comfort level will translate into their comfort. Wear clothes and shoes that make you feel confident. Stand still at the podium or walk around if you’re comfortable. If you’re unsure, stay planted in a grounding position.

Scope out the venue beforehand. Will you use a handheld, stationary, or clip-on microphone? Always use a microphone if available, keeping it close to your mouth and checking for distortion from clothing or jewelry. Avoid turning away from the microphone to read from a screen, as this can be distracting. If at a podium, test the microphone height and make sure you can enter and exit the stage smoothly. Steps can be a hazard. If you’re unsure, request a “spotter” for assistance.

Virtual Presentations

The preparation for virtual presentations is similar but focus on being comfortable with the technology. Ensure your equipment is fully charged, your Wi-Fi is reliable, and have a backup plan if there’s a connection issue. Consider having a colleague ready to jump in if needed. Test the presentation with a friendly audience who can provide feedback on lighting, sound, and background.

It’s easier for your audience to follow when you’re on camera, but keep in mind that you may not see their reactions. This makes feedback difficult to gauge, so appoint a colleague as a moderator to monitor the chat and message you as needed. Decide how you want to receive feedback: frequent texts or only for urgent matters. Avoid receiving multiple messages during your presentation, as this can be distracting. Appoint one feedback communicator to the speaker.

Key Takeaways

No matter what happens, roll with it! It’s not just about what occurs but how you react. If you remain comfortable, your audience will too. Brush that whipped cream off your shoulder and soldier on. As Maya Angelou once said, people may forget what you said, but they will never forget how you made them feel.

The post How To Make A Powerful Presentation appeared first on NCA.

“Consumer spending dipped slightly again in February due to the combination of harsh winter weather and declining consumer confidence driven by tariffs, concerns about rising unemployment and policy uncertainty,” says NRF President and CEO Matthew Shay. “Unease about the probability of inflation and paying higher prices for non-discretionary goods has the value-conscious consumer spending less and saving more. But for the moment, year-over-year gains reflect an economy with strong fundamentals.”

Total retail sales, excluding automobiles and gasoline, were down 0.22 percent seasonally adjusted month over month but up 3.38 percent unadjusted year over year in February, according to the Retail Monitor. That compared with a decrease of 1.07 percent month on month and an increase of 5.44 percent year over year in January.

The Retail Monitor calculation of core retail sales (excluding restaurants in addition to automobile dealers and gasoline stations) was also down 0.22 percent month over month in February but up 4.11 percent year over year. That compared with a decrease of 1.27 percent month over month and an increase of 5.72 percent year over year in January.

Total sales were up 4.41 percent year over year for the first two months of the year and core sales were up 4.91 percent. That compares with 3.6 percent growth for the full year in 2024.

The February monthly downturn came after President Donald Trump announced 10 percent tariffs on goods from China and 25 percent tariffs on goods from Canada and Mexico at the beginning of February. The Canada-Mexico tariffs were immediately delayed by a month, then delayed again for most goods until April 2 last week, but the tariffs on China were doubled to 20 percent. The University of Michigan’s Index of Consumer Sentiment dropped to 64.7 in February from 71.7 in January, marking the second monthly decline after five months of small gains.

Unlike survey-based numbers collected by the Census Bureau, the Retail Monitor uses actual, anonymized credit and debit card purchase data compiled by Affinity Solutions and does not need to be revised monthly or annually.

February sales were up in six out of nine categories on a yearly basis, led by online sales, health and personal care stores, and general merchandise stores. Sales were down in all but two categories on a monthly basis. Specifics from key sectors include:

• Online and other non-store sales were up 0.46 percent month over month seasonally adjusted and up 36.51 percent year over year unadjusted.
• Health and personal care stores were down 0.44 percent month over month seasonally adjusted but up 8.33 percent year over year unadjusted.
• General merchandise stores were down 0.42 percent month over month seasonally adjusted but up 6.2 percent year over year unadjusted.
• Grocery and beverage stores were down 0.07 percent month over month seasonally adjusted but up 4.08 percent year over year unadjusted.
• Clothing and accessories stores were down 0.78 percent month over month seasonally adjusted but up 3.75 percent year over year unadjusted.
• Sporting goods, hobby, music and bookstores were up 0.93 percent month over month seasonally adjusted and up 3.57 percent year over year unadjusted.
• Electronics and appliance stores were down 0.43 percent month over month seasonally adjusted and down 0.06 percent year over year unadjusted.
• Building and garden supply stores were down 1.02 percent month over month seasonally adjusted and down 3.34 percent year over year unadjusted.
• Furniture and home furnishings stores were down 1.01 percent month over month seasonally adjusted and down 3.67 percent year over year unadjusted.
  
  

The post NRF Says February Sales Down Amid Tariff Concerns appeared first on NCA.

The survey highlights how maximizing truck capacity is becoming a major priority, as businesses navigate fluctuating fuel prices, increasing demand for faster deliveries, and mounting pressure to reduce carbon footprint. Nonetheless, organizations continue to struggle with key barriers to efficient load planning. Additionally, when asked about the biggest obstacles to optimizing truck loads, respondents cited inadequate load planning software, order processing delays, and lack of real-time visibility into warehouse operations as top concerns.

The impact of these inefficiencies is considerable, with nearly 30 percent of companies reporting that more than a quarter of their outbound trucks leave without being at least 90 percent full, resulting in wasted fuel, higher costs, and unnecessary environmental impact. Furthermore, 22 percent of respondents stated that inefficient truck loading directly affects their ability to meet last-mile delivery commitments, further compounding logistics challenges.

Despite these issues, many companies are still in the early stages of leveraging technology to improve load optimization. Ortec’s findings reveal that while 25 percent of organizations have successfully implemented AI-powered load planning solutions, a significant portion is still relying on manual processes or outdated software, leaving room for improvement. With increasing adoption of automation and AI in logistics, businesses have a major opportunity to enhance efficiency, reduce costs, and streamline delivery operations by investing in advanced load planning technologies.

“Our survey results confirm what we’ve seen across the industry—many companies are leaving money on the table due to inefficient load optimization,” says Mat Witte, CEO of Ortec Americas. “By utilizing AI-driven planning solutions, businesses can ensure better truck utilization, reduce empty miles, and improve delivery accuracy, ultimately leading to cost savings and greater operational efficiency.”

The post Ortec Logistics Survey Finds Efficiency Gaps Still Plague Supply Chain Distribution appeared first on NCA.

Washington — As consumer preferences evolve and industry advancements accelerate, the candy and snack food sector is experiencing unprecedented growth and transformation. From cutting-edge processing and packaging innovations to the rising demand for sustainability and automation, manufacturers are investing heavily to stay competitive in a fast-changing market.

According to the Snack Foods Packaging Trends report produced by PMMI, The Association for Packaging and Processing Technologies, 92 percent of manufacturers expect industry growth over the next three years, with an average projected capital investment increase of 10.5 percent. This surge in spending reflects a growing need for advanced processing solutions, flexible packaging systems, and improved automation to meet shifting consumer demands.

With 88 percent of manufacturers planning to acquire new packaging or processing machinery in the near future, investment in modular and customizable equipment is surging. The ability to adapt production lines for various product sizes, shapes, and packaging formats is a key competitive advantage, especially in seasonal and limited-edition candy and snack product lines.

High-priority investments include:

• Labeling, decorating, and coding equipment — essential for compliance, traceability, and brand differentiation (40 percent of manufacturers plan to invest)
• Form/fill/seal machines, palletizing, wrapping, and bundling systems — improving efficiency and reducing labor reliance
• AI-driven automation — streamlining operations, reducing waste, and enhancing predictive maintenance capabilities.

Despite technological advancements, the industry continues to grapple with skilled labor shortages. High turnover rates among machine operators pose a challenge, prompting companies to adopt Virtual Reality-based training modules and AI-assisted troubleshooting to improve efficiency and reduce downtime.

Sustainability remains a key focus in candy and snack food packaging. Many brands are embracing:

• Recyclable and compostable packaging to align with consumer expectations and regulatory requirements
• Lightweighting initiatives to reduce material usage while maintaining package integrity
• Extended Producer Responsibility policies, prompting shifts in packaging design to meet new compliance standards.

As the candy and snack food industry continues to evolve, investments in cutting-edge machinery, automation, and sustainable packaging solutions will be critical for staying competitive. With the launch of Pack Expo Southeast, candy and snack food professionals working to keep up with industry trends and meet the demands of this dynamic market have a new resource in Atlanta, a regional manufacturing hub and easily accessible destination.

The post PMMI Report Shows Innovation, Growth In Candy, Snack Food Sector appeared first on NCA.

Washington — The CPG industry, particularly snack and candy manufacturers, have long thrived on unplanned purchases. Whether it be a treat, a reward, a hunger stopgap, an emotional plug, or just for fun, snacks are a quick and convenient alternative to a full meal.

Manufacturers, retailers, and restaurants have worked together to provide what consumers have ostensibly asked for: taste, convenience, portability, and nutrition. Importantly, those products have been made so they are at the ready for a hungry, thirsty, spontaneous shopper. It’s both impressive and mindboggling when you consider the amount of time, space, and expense that retail and foodservice devote to unplanned food purchases.

Check lane candy, single-serve snacks, chilled food and drinks, prepared and hot foods at convenience stores, and so on are all in service of the convenience principle: to consume immediately. And the riot of color and flavor explosion cues are working to grab attention and drive appeal and differentiation.

But what if that consumer doesn’t need to make a quick stop on the way home for a snack? What if they don’t need a pick-me-up to go with their coffee? What if there’s not a need for a snack between meals? What if there’s a break in habit formed, cravings and eating patterns? What if there’s just less urgency for the drive-thru? Or the soda fountain? What if the focus is on nutritional value over flavor or convenient packaging? What if their impulse level is simply . . . dialed back? All driven by the growing use of Glucagon-like peptide-1 (GLP-1) drugs.

How Do GLP-1 Drugs Work?

GLP-1 receptor agonists are a class of medications initially developed for the treatment of type 2 diabetes, mimicking the body’s natural sugar control functions. The drugs slow digestion and increase feelings of fullness, which has had a secondary effect: weight loss. This isn’t the diet drugs of years past: GLP-1 formulations impact the brain differently and are showing positive results in research not simply for appetite suppression but also for quitting smoking, addiction treatment, and other behavior-driven conditions. Its effect, therefore, quiets cravings for food and beyond. This mechanism is where the potential disruption to the CPG industry lies.

How To Win When Impulse Wanes

The impact of GLP-1 drugs on immediate consumption products could be significant, but it’s one of many opportunities for CPG companies to adapt and innovate. Here are a few strategies to consider:

Reframing For Nutrition: GLP-1s are one of many headwinds CPG has faced in recent years — from carb-consciousness to inflation to ultra-processed foods concerns. Even though GLP-1 users do have distinct needs from other food types, it’s likely some of the better-for-you strategies being developed have likely resonance with this user group. Whether it’s a full overhaul or a message retooling, there’s opportunity.

Quality Over Quantity: In a world where volume and unplanned purchases might both be at risk, focusing on a ‘less-is-more’ premium or high-value experience can be a winning strategy. Consumers may be more willing to spend on a truly indulgent treat that they savor. In Kantar’s GLP-1 research, 75 percent of current GLP-1 users agreed, “even when sticking to a healthy diet, it’s important to indulge in treats sometimes.”

Education Over Impulsivity: GLP-1 users have a lot to learn once on the drug — more than 90 percent enact some kind of food changes, and about two-thirds have side effects; digestive is the most common. As a result, GLP-1 users are extremely open to learning about new products and brands that will work in tandem with their new lifestyle. 

Plan To Plan Ahead: GLP-1 users are doing less out-of-home eating and more meal prepping and scratch cooking. Instead of hoping for a pickup on an incremental trip to the convenience store or fast-food outlet, the question might instead be — how can I get into the GLP-1 user’s lunch bag? When queried on innovation desires, 63 percent wanted an item that could be eaten as a snack instead of a meal, and interest was evenly split between sweet and savory.

What’s Next?

Given reductions in spend and calories from GLP-1 users, a smart, tailored strategy to help consumers succeed in their new lifestyle is an important part of strategic decision-making. For CPG manufacturers of grab-and-go foods, this potential shift presents a significant challenge. If consumers are less likely to experience cravings and act on impulse, traditional marketing and sales strategies might become less effective. If companies can rethink their approach to product development, marketing, and distribution, they can turn this challenge into a significant opportunity.

The post GLP-1s & The Potential Impact On Shopper Behavior appeared first on NCA.

The association notes that consumers are concerned about the price of groceries, which has led to widespread shifts in food and beverage spending. However, 98 percent of shoppers reported that they had purchased confectionery products at some point in 2024, demonstrating that they continue to leave room in their budgets for treats like chocolate and candy that enhance special moments.

“Americans are still turning to chocolate and candy as a special way to elevate their celebrations, holidays, and even ordinary days. The connection between our industry’s products and emotional well-being is undeniable, and we are meeting consumers where they want to be met with options for the moment — no matter the occasion,”saysJohn Downs, president & CEO of the NCA.

The 2025 State of Treating report offers insights to help manufacturers and retailers take the confectionery category to the next level.

Here are a few key takeaways:

• Chew On This: While a little more than half of confectionery sales were driven by chocolate, non-chocolate candy experienced standout results in 2024, growing by nearly $5 billion since 2019 – an increase of almost 70 percent.

• Season’s Treat-ings: The big four candy seasons — Valentine’s Day, Easter, Halloween, and the winter holidays — accounted for 62 percent of all confectionery sales in 2024. Top reasons for people to buy chocolate and candy include seeing their favorite treats and brands, gifting, and special occasions.

• Always A Treat: Most consumers (85 percent) agree that it is fine to occasionally enjoy a piece of chocolate or candy, and 86 percent of parents are also on board with their children enjoying candy occasionally. Consumers report that they are interested in different pack size options and resealable packaging to help them with portion control.

The 2025 State of Treating report explores confectionery shopping and treating trends and is the definitive source for confectionery category performance data. Summary of the findings are available at CandyUSA.com/2025BiteSized.

The post Confectionery Sales Break Records, Surpass $54 Billion In 2024 appeared first on NCA.

“Consumers pulled back in January, taking a breather after a stronger-than-expected holiday season,” says NRF President and CEO Matthew Shay. “Despite the monthly decline, the year-over-year increases reflect overall consumer strength as a strong job market and wage gains above the rate of inflation continue to support spending. We’re seeing a ‘choiceful’ and value-conscious consumer who is rotating spending across goods and services and essentials and non-essentials, boosting some sectors while causing challenges in others.”

Total retail sales, excluding automobiles and gasoline, were down 1.07 percent seasonally adjusted month over month but up 5.44 percent unadjusted year over year in January, according to Retail Monitor. That compared with increases of 1.74 percent month over month and 7.24 percent year over year in December.

The Retail Monitor calculation of core retail sales (excluding restaurants in addition to automobile dealers and gasoline stations) was down 1.27 percent month over month in January but up 5.72 percent year over year. That compared with increases of 2.19 percent month over month and 8.41 percent year over year in December.

The results come after core retail sales grew 4 percent year over year during the 2024 holiday season and 3.6 percent for the full year.

Retail Monitor uses actual, anonymized credit and debit card purchase data compiled by Affinity Solutions.

January sales were up in seven out of nine categories on a yearly basis, led by online sales, health and personal care stores, and clothing and accessories stores. Sales were up in three categories monthly.

Specifics from key sectors include:

• Online and other non-store sales were up 0.44 percent month over month seasonally adjusted and up 30.49 percent year over year unadjusted.
• Health and personal care stores were up 0.77 percent month over month seasonally adjusted and up 10.39 percent year over year unadjusted.
• Clothing and accessories stores were down 2.96 percent month over month seasonally adjusted but up 7.67 percent year over year unadjusted.
• General merchandise stores were down 2.43 percent month over month seasonally adjusted but up 7.53 percent year over year unadjusted.
• Grocery and beverage stores were down 0.23 percent month over month seasonally adjusted but up 5.65 percent year over year unadjusted.
• Sporting goods, hobby, music and bookstores were down 1.89 percent month over month seasonally adjusted but up 2.82 percent year over year unadjusted.
• Electronics and appliance stores were down 1.46 percent month over month seasonally adjusted but up 1.57 percent year over year unadjusted.
• Furniture and home furnishings stores were down 2.03 percent month over month seasonally adjusted and down 0.27 percent year over year unadjusted.
• Building and garden supply stores were up 0.27 percent month over month seasonally adjusted but down 0.99 percent year over year unadjusted.

The post January Sales Drop Off From December, But Strong Year-On-Year Gains Reported appeared first on NCA.

Washington — As global supply chains face increasing pressures, the snack food sector finds itself navigating profound changes. These shifts are driven by a confluence of factors, including rising geopolitical tensions, evolving trade policies, and consumer demand for ethical sourcing. For snack brands and retailers, these challenges are translating into higher costs, mounting supply chain vulnerabilities, and a growing demand for technology that can create more resilience and efficiency.

Deglobalization, a move toward reducing reliance on international trade, is rapidly reshaping retail across the board, with snack manufacturers feeling the impact acutely. Tariffs and ongoing supply chain disruptions are expected to intensify through 2025, adding significant pressure on landed costs for snack products and forcing brands to rethink long-held sourcing strategies.

While globalization had brought efficiencies and access to global ingredients like West African cocoa, Southeast Asian palm oil, and Indian cashews, the vulnerabilities in such systems have become glaringly apparent.

Recent events have accelerated the shift toward more localized and diversified supply strategies. One major factor is the war in Ukraine, which has disrupted sunflower oil supplies, a critical component in chips and other snacks, creating ripple effects across the sector.

Meanwhile, trade disputes between the U.S. and China have heightened tariffs on agricultural imports, directly impacting products like nuts and dried fruits essential to snack brands. Under the new U.S. administration, there are signals that more protectionist trade policies could be introduced, further challenging companies reliant on imports.

As these disruptions persist, many snack brands are rethinking traditional supply chains. They are exploring ways to reduce dependency on global suppliers by nearshoring or investing in regional partnerships. Yet these shifts bring their own set of hurdles, including higher production costs and the logistical complexity of establishing new supplier relationships.

Cost Pressures & Rising Tariffs

Tariffs, both existing and potential, have become a particular pain point for snack manufacturers. Imported ingredients like cocoa, sugar, and palm oil are subject to fluctuating tariffs while rising shipping costs exacerbate financial pressures.

With many snack products operating on thin margins, brands are left with difficult choices — either absorb the costs or risk passing them on to price-sensitive consumers and risk losing market share.

The threat of new tariffs adds another layer of uncertainty. Snack food brands are particularly impacted by deglobalization because of their reliance on diverse agricultural inputs. For instance, cocoa, a key ingredient in chocolate snacks, is predominantly sourced from Ghana and Côte d’Ivoire. Any disruption, whether from trade restrictions or environmental factors, can lead to supply shortages and price spikes.

Similarly, nuts like almonds and cashews, staples in snack mixes, are becoming more expensive due to higher transportation costs and tariffs. Even sugar, a commodity with global volatility, forces brands to consider premium-priced regional suppliers or alternative sweeteners. These challenges illustrate the inherent vulnerabilities of the snack sector.

As deglobalization reshapes the landscape, technology offers solutions to mitigate risks and manage the complexities of evolving supply chains. Multi-enterprise supply chain platforms are proving indispensable by enabling brands to streamline operations, diversify suppliers, and reduce costs.

One of the biggest challenges of deglobalization is growing your supplier base, which increases agility and resilience but adds significant complexity to supply chain operations. Multi-enterprise supply chain platforms help identify and onboard new vendors. A chocolate manufacturer, for example, facing cocoa shortages from West Africa might use the multi-enterprise platform to connect with certified producers in Latin America or explore untapped suppliers in Asia.

These platforms’ collaborative tools also facilitate seamless communication between brands and suppliers, ensuring compliance with quality standards and regulatory requirements. This is particularly crucial when transitioning to local suppliers who might lack experience with global certification protocols.

Visibility across the supply chain is critical in navigating the uncertainties of deglobalization. A platform like TradeBeyond offers real-time insights from raw material sourcing to finished goods, enabling brands to identify potential disruptions early. For ingredients like palm oil, where geopolitical and environmental risks are significant, such visibility is essential to maintaining operational stability.

New AI-powered traceability tools are also helping brands meet growing regulatory demands. For manufacturers sourcing cocoa or palm oil, demonstrating adherence to labor standards and sustainability practices is essential for maintaining consumer trust and complying with global laws.

While immediate challenges like cost and resilience dominate the conversation, sustainability remains a significant factor. A powerful multi-enterprise platform can help brands monitor environmental metrics, such as carbon emissions and water usage, aligning operations with consumer demand for ethically sourced and eco-friendly snacks.

Deglobalization is forcing snack food brands and retailers to rethink traditional supply chains, balancing cost pressures with the need for resilience and compliance. While the shift presents challenges, it also offers opportunities to build more robust, localized supply networks that can better withstand future disruptions.

Technology is essential to turning the challenges of deglobalization into opportunities for long-term success by enabling businesses to diversify suppliers, streamline costs, and enhance visibility.

As the industry adapts, those who embrace innovation and collaboration will be best equipped to thrive in an increasingly localized world.

Contributor Info: Eric Linxwiler is senior vice-president of TradeBeyond. He has more than 30 years of experience in enterprise software and cloud-based platform companies with a specialty in supply chain optimization and workflow management. He can be reached at eric.linxwiler@tradebeyond.com.

The post Rethinking Supply Chains Amidst Deglobalization appeared first on NCA.

The survey uncovers that most adults prefer chocolate over flowers and would rather have a low-key celebration at home over an elaborate one.

Key findings include:

• 66 percent of adults say that chocolate is their favorite treat, outpacing cookies, candy and other treats
• 63 percent of women and 55 percent of men agree that celebrating at home is more appealing than going out
• 64 percent of women think chocolate is a stress-free way to celebrate
• 59 percent of adults would rather receive chocolate over flowers
• 62 percent of adults say a home-cooked meal is more romantic than an expensive restaurant dinner
• 52 percent of women believe that proposals on Valentine’s Day are overrated
• 41 percent of men believe there should be a male equivalent to Galentine’s Day

“Valentine’s Day is synonymous with sharing joy and showing affection for those that are near and dear to us, and chocolate gifting remains a big part of that tradition,” says Jim Klein, chief customer officer, Ferrero USA. “As one of the leading chocolate companies in the U.S., we’re proud of the part we play in helping people celebrate the holiday when they give a box of Ferrero Rocher, a jar of Nutella, or other confectionary treats to their loved ones to make their day special.”

The post Ferrero Survey Reveals Valentine’s Day Trends appeared first on NCA.

According to the company, Aji Amarillo, which translates to ‘yellow chile pepper,’ is grown in Peru and a staple ingredient in Peruvian cuisine. Despite its name, the yellow pepper turns orange when fully mature and has fruity, tropical notes, reminiscent of passion fruit and mango, with a moderate heat ranging from 30,000 to 50,000 Scoville Heat Units (SHU). Aji Amarillo is trending beyond Peruvian cuisine, showing up as a key ingredient in appetizers, drinks, entrees and more, with an anticipated 59 percent menu growth over the next four years.

The McCormick Flavor Forecast explores what is shaping the future of flavor at home, restaurants, and grocery stores. The company explains that the report is crafted through a blend of primary and secondary qualitative and quantitative research, including on-the-ground research across the globe, as well as social listening insights, SEO trends, and more. It encompasses flavor, culinary trends and stories, cooking techniques and applications, exploring trends on the cusp of adoption around the world.

Flavor predictions and trends identified in the Flavor Forecast 25th Edition include:

• Tropical Vibes: In this trend, taste buds travel through warm-weather flavors and cuisines to taste tropical fruits, seafood, and island and beach cuisines.
• Charred & Smoked: These culinary techniques underline and emphasize the natural characteristics of a dish or ingredient. Smoky, charred, roasted and ultra-caramelized notes come through in unique ways and a variety of applications.
• Deliciously Unexpected: This trend is about reimagined familiar ingredients and deliciously unexpected combinations, evoking curiosity and cravings. Early evidence of this includes the chili cucumber salad trend that has amassed nearly 23 million views on TikTok.

“For nearly 25 years, McCormick has defined flavor and influenced flavor trends through the Flavor Forecast, inspiring discovery and innovation in everyday foods and beverages. From chipotle to chai, matcha and tamarind — these are all flavors we’ve predicted that have cemented themselves in global cuisine,” says Tabata Gomez, CMO. “As a global leader in flavor, we are champions of bold flavor. We continue to see younger generations explore creative ways to spice up their foods, so we love that this year’s Flavor of the Year, Aji Amarillo, is providing the perfect gateway for consumers to explore and expand their palate.”

“Our Flavor of the Year, Aji Amarillo, is the true embodiment of flavors that pack a punch,” says Hadar Cohen Aviram, executive chef and senior manager, culinary development, US consumer at McCormick. “Its versatility lends itself to diverse applications, amplifying both sweet and tangy flavors and adds dimension to smoked or charred items. The Aji Amarillo Seasoning is a delicious, sweet and spicy blend that enhances any dish including seafood, poultry, sauces, salsas and more.”

The post McCormick Declares Aji Amarillo 2025 Flavor Of The Year; Offers Flavor Forecast appeared first on NCA.