Report Predicts Irish Foodservice Sector Revenues Will Be Down 47% This Year
A new report from Bord Bia predicts that foodservice sector revenues on the island of Ireland will be down 47% year-on-year this year, which is the first year in eight years during which Irish foodservice revenues declined.
As reported by The Irish Times, Bord Bia predicts that Republic of Ireland foodservice sector revenues will total €3.3 billion this year and Nothern Ireland foodservice sector revenues will total €1.2 billion.
Last year, foodservice sector revenues topped €6.3 billion in the Republic and €2.2 billion in Nothern Ireland.
However, the predicted €4 billion year-on-year fall in island of Ireland foodservice sector revenues to €4.5 billion is less than the €5 billion fall that Bord Bia forecast in May.
The term "foodservice" refers to all food prepared and consumed outside of the home, and restaurants, cafés, pubs, hotels and catering services provided in institutional settings such as workplaces, hospitals and educational facilities are all considered to be part of the foodservice sector.
Bord Bia said that the Irish foodservice sector is likely to experience a recovery next year, but it does not anticipate a return to normal. Instead, it said that the sector could experience an uplift of up to 41% in a best case scenario or 16% in a worst case scenario.
The Irish Times quotes Bord Bia foodservice specialist Maureen Gahan as saying, "The performance of the foodservice industry is intrinsically linked to economic conditions, tourism and employment, all of which will continue to be challenged in 2021.
"The changing landscape will have a long-term impact on revenue and profitability - everything from the drive from consumers for keener value pricing to the shift away from city centre and high street locations to the challenge of recruiting and training new staff."
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