Top Challenges Faced by the Australian Food Industry

Top Challenges Faced by the Australian Food Industry
There’s no denying that the restaurant industry worldwide is susceptible to an array of challenges. Sometimes, these risks can seem impossible to manage. The Australian food industry is no stranger to such issues. Experts at one of the top local seafood restaurants discuss some of the challenges that plague the food industry of Australia.


Declining Business

2016 is considered to be one of the best years for the Australian food industry. During this time, several new restaurants cropped up and innovation was at its peak. However, the following year, many businesses went into a decline because it became difficult to find trained staff members to cater to the growing demand for restaurants. The advent of online ordering system has also made it difficult for traditional diners to survive and thrive.

Rising Competition
Currently, Sydney offers a lucrative market for those who want to start a restaurant. However, the competition is cutthroat. Increasing competition is forcing many restaurants to invest in decor and improved cooking equipment, which is adding to their costs. Additionally, traditional dine-in businesses all across Australia are facing competition from Uber Eats, Foodora, and other delivery companies that encourage people to stay at home and order from their cell phones.

Difficulty Finding Staff Members
A lack of professional and qualified staff members is a huge concern for restaurant owners. Up to ten years ago, most chefs across Australia knew how to perfect basic methods of cooking. Today, however, head chefs spend more time training their apprentices rather than learning something new. Once an apprentice learns cooking skills, he or she is most likely to move to another restaurant or start a new eatery, which raises staff leave ratio.

Rising Price Levels
As the nutrient sources are depleting and the population is rising exponentially, the overall food costs are also increasing. In addition, rent and utility bills are also on the rise. The increasing costs are prompting restaurant businesses to raise their selling prices to make adequate profits, and the rising selling prices are deterring customers from eating out. Restaurants that raise their selling prices are likely to lose business to street vendors who offer the same foods at low prices.

Food Sourcing Is Important
Consumers are now more aware than before, and they are making smart choices every day. Over the past few years, the need for sustainable sourcing has increased, and food industries are investing heavily in reducing their carbon footprint. Similarly, the demand for gluten-free and GMO-free food is also rising, and restaurants that are still relying on traditional sourcing methods may be at the losing end.

Shift Toward Casual Dining
Long ago, dining was supposed to be an experience to remember. Customers would dress in their best and head down to their favourite restaurants to enjoy lavish meals. However, times have now changed. Today, customers prefer casual dining, and fancy restaurants face risk of closure. Consumers are focusing on high-quality food at low prices. Restaurants that cater to high-end customers could face some losses.

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