By Holger Frey, Senior Portfolio Manager for the RobecoSAM Sustainable Food Equities Strategy.
Keeping up with global food production needs and shifting consumer preferences
Global food production needs to rise by 70% until 2050 to feed the growing world population of 9.7 billion people. Propelled by the emerging urban middle class in developing countries, every year 60 million new consumers join the dinner table. Changing diets in rising urban centers also drive a shift toward nutrient richer food and higher consumption of animal protein. This has far-reaching implications for the supply-demand equation.
While in twenty years the world population has increased by 29%, the chicken population has grown by 77% and demand for animal feed has increased exponentially. Is there more to come?
Comparing the consumption of poultry products in the U.S. and China shows, China has already overtaken the U.S. in absolute tons consumed. However, per capita consumption in China in 2017 would still need to quadruple to be on par.
This is just one example, how the global food system will be ….