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Profitability in the food processing sector

  • Jul 26, 2016

FCC Senior Ag Economist Craig Klemmer explains how to use price indexes from Statistics Canada to track profitability in the food processing industry.

Video Highlights

  • Raw materials, labour and the price of manufactured products all contribute to profitability in the food processing sector
  • Statistics Canada uses two price indexes to help track patterns in food processing profitability
  • If the price indexes don’t move in the same direction, profit margins could be “squeezed”
  • Increasing your operations’ efficiency is the only response to declining food processing profits