Brian Lee, of SIM University's School of Arts and Social Sciences, said transport issues have been driving consumers to find ways in which they do not have to travel to their points of sale.
“If we manage to reduce the number of cars on the road in future, more people may experience the inconvenience of waiting for a bus or taxi with heavy grocery items,” said Dr Lee.
“Online grocery shops that provide fast and cheap delivery services will be in great demand.”
With the growing popularity of e-commerce, more established supermarkets have been moving towards online shopping, with traditional wet markets also setting up cyber presences.
PayPal research has shown that online shopping will be worth S$4.4bn (US$3.1bn) in Singapore this year. This represents an annual growth of around 20% in recent years, according to retailers.
Import duties holding back Vietnam’s domestic drinks industry
Foreign grocery retailers account for half of the entire beverage market in Vietnam, according to one industry group.
The Food and Foodstuff Association of Ho Chi Minh City said that most Vietnamese beverage companies are facing difficulties from heavy import tariffs on raw materials that can reach 10-15%.
As a result, the association’s chairperson, Ly Kim Chi, said domestic products could not compete with those made overseas.
With flavours and additive companies still unorganised and largely small in scale, this situation is unlikely to change in the near future, Chi said. They also face “cutthroat competition” from foreign producers in terms of diversification, production and food safety, which together have given a competitive edge for foreign manufacturers.
Currently, there are around 229 beverage companies across the country, the association claimed.
Cebu government innovation centre on the cusp of opening
The Central Visayas region of the Philippines will open a food innovation centre, backed by the Cebu Institute of Technology University shortly, once it receives locally made food processing equipment from Manila.
“We are hoping to be operational by November or December this year,” said government official Tristan Abando, adding that the centre will allow the Philippines to compete with other Asean nations, especially Vietnam and Thailand, when regional harmonisation comes into play at the end of this year.
The machinery will include a vacuum fryer, for foods including potato chips, durian, pineapple, and kiwi.
Other equipment will include an immersion freezer and a spray dryer that turns liquids into powder for milk powder, coffee, spices and flavourings.
Food processing contributes over 40% of the Philippines’ manufacturing output. More than 60% of micro-, small- and medium-sized enterprises occupy the segment.
Thai tuna prices plummeting
Thai Skipjack tuna prices increased 15% month on month in August due to July fishing bans.
In the western Pacific, fishing aggregating devices, which work by attracting fish to one central point, have been banned until October.
Such devices make it easier to fish, though when a ban is in place, fish are free to swim, making fishing potentially more difficult and resulting in a reduced catch.
Even with the ban in place, fish are still being caught, thus increasing the supply of tuna at the same time as demand is low.
Despite these increases, August prices have fallen 8% year on year. Moreover, Thailand prices are forecast to drop further in coming months due to lower demand for processed canned tuna in Thailand.
Thai processors have excess stocks, with enough to fulfil two months of orders. This is in addition to any future catches available for processing, thereby adding further to stock levels.
The Middle East has traditionally been an important market for Thai tuna, but demand has fallen due to the Syrian conflict.