How the logistics support works for the food and beverages industry in India?

ByFranchise Discovery

Logistic support means the use of the Supply chain for the distribution of materials, animals, equipment, facilities, food, and trained staff essential for the smooth running of an enterprise or a project.

 

In general, it is the management of the flow of goods from the point of origin to the end of consumption and meeting the requirements of customers and corporations.

 

There are many 3PL, third-party logistics companies for the food and beverages industry that can store, manage and deliver the goods/products effectively. 

 

Many companies outsource their 100% logistics from raw material to distribution, and some operate logistics by themselves through a partnership with other companies

 

For example, Mcdonalds is known to outsourced 100% supply chain with having control over its functioning, which is monitored by McDonald’s on KPI(key performance indicators)

 

What are the important elements to run logistics of the food industry?

 

  • Agriculture (raw material)

  • Manufacture

  • Warehouse

  • Storage

  • Food waste logistics

 

 

Agriculture (for raw material): 

Food manufacturing companies invest in raw materials to produce finished food products for the general public. The franchisor supplies raw materials in franchisee locations. Manufacturers buy raw materials to produce and create final food items for human consumption.

Many food manufacturers, restaurants, and processing plant use raw materials which includes :

 

  • raw meat, poultry, and seafood

Products produced from slaughtering animals such as chicken, lamb, and shrimp. Seafood comes from animals living inside seawater. Such as salmon, shellfish, lobster, and whitefish. Lastly, meat surrounds all other animals, such as pork, veal, lamb, and goat.

 

For consumption, cooking, and processing Food companies use this raw meat. For example, a restaurant prepares steak cuts for consumers. On the other hand, manufacturers can sell un shell lobster in frozen packages for at-home usage.

 

  • Grains, Seeds, and Nuts

Food processors will use grains, seeds, and nuts to make cereals, snacks, and oils for consumers.

 

  • Fruits and Vegetables

Fruits and vegetables are commonly produced in farm fields, greenhouses, and trees. They are sold directly for consumption and are also used as ingredients for dishes. Fruits come from flowering plants and are often sweet and can be used to make a sweet dish like cake. 

 

  • Fungi

Mushrooms are consumed a lot by people and it’s a popular form of fungi. Fungi grow best in moist environments, such as in caves and underneath trees. Fungi refer to a group of living organisms that bloom in organic materials. They are used in many ingredients for the dish as it contains lots of fibre and protein.

 

  • Dairy Products

Dairy products come from animals but don’t require animal slaughterings such as cheese, milk, and cream. For example, milk is generally harvested from female animals, such as Goats, cows, and sheep. Food manufacturers will import or purchase dairy goods to make their final food products such as cakes, ice cream, meals in a restaurant, and milkshakes. 

 

  • Eggs

Eggs are produced without animal slaughtering. Farmers will collect eggs from their chicken, quails, and ducks and sell them to manufacturers, food companies, or directly to consumers.

 

Manufacture: 

Food Processing takes place after raw materials are manufactured and later, will be converted into substances like particular textural, sensory, and nutritional properties.

It can be further divided into two parts:

Primary processing: For example, milling. Converting wheat into flour. 

Second processing:  means converting ingredients into edible products. for example baking cakes

 

Warehouse

The warehouse is used for storing finished goods. There are many ways to store goods or products in a warehouse such as:

 

  • Dry storage

Items that don’t require a climate controlled environment. Items set in dry stock and have a long period of usability also called long shelf life. These are the items that do not require a climate-controlled area. Storing items like a large can of vegetables and cooking items like sugar and flour are used for Restaurants and fast food.

 

  • Refrigerated

Foods that need to be kept cool at all times, such as meats, butter, cheese, and eggs. Can be defined as foods that require storage at a cool temperature (but not a freezing temperature). Products or foods that are to be refrigerated are kept at 4 degrees Celsius. 

 

  • Frozen

Goods that need storage at a temperature below 32 °F are put into frozen storage. For example, The items are stored in rooms with different temperatures and are dispatched to the McDonald’s restaurants according to the brand Requirements

Mcdonald has delivery trucks to transport products at temperatures ranging from room temperature to frozen state. To maintain the temperature throughout the journey, they use specially designed trucks to maintain it

 

Food waste 

Logistics: this logistics takes place after human consumption of food and remaining food which was not consumed and cannot be reused.Usually, the food and beverage industry Avoids and minimizes food waste and all the food waste are collected and sent for recycling into useful resources

0