Food For Thought

The Western Australian food manufacturing industry is at a crossroads, with rising costs and a changing retail marketplace threatening the sector's future viability. Janelle Macri reports.

The food-manufacturing sector requires urgent action from government if it is to remain viable in the future, according to industry representatives at the WA Business News forum.

The growing dominance of the major supermarket chains has had a significant effect on Western Australian food producers.

Drought in much of the country and rising commodity prices will ratchet up the pressure on the state's food manufacturing industry, the WA Business News forum heard.

Changing diets in the world's emerging economies and global food security issues could potentially present the local food industry with a wealth of opportunities.

The food industry has questioned the effectiveness of the Department of Agriculture and Food's latest marketing campaign to encourage consumers to buy locally made products.

Canning Vale-based food manufacturer Chrystal Foods is one of the latest local food businesses to be bought out by a large national company.