Industry Lens: Food Manufacturing—September 2021
The Conference Board of Canada,
September 21, 2021
This industry profile provides a five-year forecast for Canada’s food manufacturing industry.
- Canada’s food manufacturing industry performed comparatively well during the pandemic. GDP growth of 2.3 per cent is expected in 2021, followed by a further 3.4 per cent growth in 2022.
- The industry adapted well to the abrupt shift in demand from food services to food retail. The easing of pandemic restrictions is allowing a recovery of food services, and we will see the profile of food demand shift again.
- Labour shortages, which were exacerbated by the pandemic, continue to be a battle. Recruitment challenges are driven by several factors, including an aging workforce, skills gaps, low wages, and demanding working conditions.
- Recruiting workers from abroad is becoming increasingly important in the industry.
- Exports of food products will increase over the forecast period, allowing the long-standing trade surplus to increase.
- Labour scarcity and increased costs will see firms seeking out efficiency gains through automation.