News

Staying ahead of market trends is key for Ireland’s hotel, hospitality, and care businesses. With the right insights, operators can maintain strong profit margins, refine their offerings, and make informed purchasing decisions.

Our European Supply Chain Analyst, Alex Gess, brings you the latest updates on the market – from global supply chain disruptions to the effects of climate change and inflation. For a comprehensive analysis of key commodities and strategies to navigate rising costs, request a copy of the report at news@trinitypurchasing.com.

Cost of Living

The economic outlook for Ireland is showing signs of improvement. Inflation has dropped to 1.7% – the lowest in nearly three years – providing some much-needed financial relief. This stabilisation has been accompanied by a rise in property prices and wages, along with a revised GDP growth forecast of 3.6% for the year.

Retail sales are rebounding, with a 2.9% increase in May and a notable surge in online shopping by 5.9%. The hospitality sector, which has struggled post-COVID, is experiencing a revival, partly driven by international football events and the onset of summer, which has boosted spending in pubs, restaurants, and bars.

Climate Change

Ireland’s climate continues to pose challenges for the agricultural sector. Despite the unusually warm spring, adverse weather conditions have severely impacted farming operations. The wet ground has delayed planting, particularly for potatoes, and overall, crop yields are expected to be 21% lower than the previous decade’s average.

These conditions aren’t unique to Ireland. The Mediterranean region, a major export hub for citrus fruits, tomatoes, and olives, has also suffered from record-high temperatures, leading to lower crop yields and higher prices for imported goods.

Global Supply Chain

The global supply chain remains under strain due to weather changes and political unrest. Key shipping routes, like the Suez Canal, have seen traffic halved due to ongoing conflicts, while drought in the Panama Canal has caused significant delays, particularly affecting grain and container ships.

These disruptions have led to longer voyage times and increased costs, which are expected to persist throughout 2024.

In the UK, a recent ban on the export of live animals for further fattening and slaughter is expected to increase processing costs and impact export levels.

Meanwhile, conflicts in Ukraine and Palestine continue to exacerbate global supply chain issues, affecting everything from grain to sunflower oil exports.

Elections

2024 promises to be pivotal for elections, with numerous contests across Europe and the highly anticipated American election. These elections are likely to disrupt the supply chain, necessitating industry adaptation to new policies and shifting demands that will follow.

Read our full Q2 2024 Commodity Market Report

Trinity’s Commodity Market Report delivers key insights into price trends and expert advice on managing and mitigating price increases. It also includes information on product availability and seasonal produce, helping you make well-informed purchasing decisions. To receive your copy, request it at news@trinitypurchasing.com.

We’re here to help.

If you would like support with any supply chain challenges you are currently facing, get in touch with us at news@trinitypurchasing.com