Food inflation in the UK is likely to increase further in 2013, a development which will affect the catering and hospitality trade, according to the annual food inflation report from the UK-based procurement specialist Prestige Purchasings.
The report noted that catering and hospitality operators in the UK need to take measures to lower the impact of the continued rise in food inflation.
It reveals that the rate of inflation for vegetables, including potatoes, reached 5.5% in 2012, and is expected to increase further.
A wider analysis forecasts that the inflation rate across all categories of food and drink will rise by more than 30%, from 3.3% in 2012 to 4.5% in 2013. The rate of food inflation may also reach the peak levels recorded in 2008, when the inflation was above 8%.
Prestige Purchasing chief executive David Read said that single site catering and hospitality operators can improve their buying by employing tools such as Benchmarking and Market Reports, in order to manage their business to address these changes.
"In addition, multi-site operators can focus on more sophisticated techniques like Distribution and Sourcing Optimisation," Read added.
The report has forecasted the increase in prices for various categories such as vegetables, pork, alcohol and soft drinks, breads and cereals, oils and fats, and milk.
