FOOD 2010 Chapter Notes - Chapter 1: Food Composition Data, Starbucks, Cramp
Chapter 1 (pg. 4-20)
Parts of the Food Industry
•The food industry is divided intro four major segments:
1. Production
2. Manufacturing and processing
3. Distribution
4. Marketing
•These segments often overlap one another
Production
•The raising or growing of plant and animal products for food consumption
•Includes industries such as farming, ranching, orchard management, fishing, and aquaculture
•Technologies include cultivation, growth, harvest, and slaughter
Manufacturing
•Converts raw agricultural products to more refined/finished products
•I.e., peanuts are manufactured into products such as peanut butter
Distribution
•Deals with aspects conducive to product sales
•Includes product formation, weighing and bulk, transportation, and storage
Marketing
•The selling of foods and involves wholesale, retail, institutional, and restaurant sales
•The segment consumers are most involved with
•I.e., through television, print, and social media advertising
The food industry can also be divided along major product lines:
•Cereals and bakery products
•Meats, fish and poultry
•Dairy
•Fruits and vegetables
•Sugars and other sweets
•Fats and oils
•Nonalcoholic beverages
•Alcoholic beverages
•These divisions are typically where consumer consumption is measured and reported
Trends
•Disposable income has increased drastically
•The percentage of income spent for food has declined
•As income rises, the proportion spent for food declines
•The expenditures for food require a large share of income when income is low
•The wealthier a country, the less money is spent on food eaten at home
•The Swiss per capita income is higher than in the U.S., however americans spend the least on
food
•Due to state-of-the-art farming equipment, abundant land, varied climate, and low spoilage
of perishables during transportation
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Document Summary
Parts of the food industry: the food industry is divided intro four major segments, production, manufacturing and processing, distribution, marketing, these segments often overlap one another. Production: the raising or growing of plant and animal products for food consumption, includes industries such as farming, ranching, orchard management, shing, and aquaculture, technologies include cultivation, growth, harvest, and slaughter. Manufacturing: converts raw agricultural products to more re ned/ nished products, i. e. , peanuts are manufactured into products such as peanut butter. Distribution: deals with aspects conducive to product sales, includes product formation, weighing and bulk, transportation, and storage. Marketing: the selling of foods and involves wholesale, retail, institutional, and restaurant sales, the segment consumers are most involved with, i. e. , through television, print, and social media advertising. Allied industries: allied industries do not sell food directly, but are still deeply involved in the food industry, produce nonfood items necessary for marketing food, i. e. , the packaging industry, chemical manufacturers (preservatives, stabilizers, etc.