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Coronavirus-19 Home Cooking Drives Demand for Prepared Foods, Flour and Eggs

07/14/2020

General Mills, Campbell Soup Company and Conagra Brands have all benefited from increased demand for packaged and prepared foods.  It is estimated that despite expanding production many food manufacturers are unable to satisfy demand and retailers are still experiencing some stock-outs and rationing.  Products in demand include soups, snacks, dessert mixes, baking items and canned vegetables and fruit. 

 

Flour is in demand with sales in March increasing over 200 percent from the corresponding month in 2019 according to Nielsen.  After the home confinement surge, flour sales were still 25 percent higher in June 2020 compared to the corresponding month in 2019.  An evaluation of the supply chain for flour suggests that packaging is a limiting factor to stocking shelves.

 

The demand for flour and baking goods are due to the much higher level of home cooking that should also be reflected in increased use of shell eggs required for most baking recipes. Eggs provide both nutrient content and functional properties that cannot be supplied by substitutes.  It is probable that increased demand for shell eggs for home baking has compensated in part for the loss of volume as a result of the marked decline in the food service segment.

 

Consumers are rediscovering the joys of home cooking and baking and it is hoped that new habits will persist after our society returns to a "new normal". The AEB through extensive use of social media is helping to promote this trend.