Grocery Wholesale

The Grocery Wholesaling industry acts as the middleman between food producers and retailers. As the economy continues to recover, improving per capita disposable income has enabled consumers to trade up to more expensive options at grocery stores or switch to dining out. Grocery wholesalers benefit either way as they distribute products to both markets. As a result, industry revenue is anticipated to grow at an annualized rate of 1.9% to $258.4 billion over the five years to 2022. However, the effects of the COVID-19 (coronavirus) pandemic are expected to limit industry performance. The pandemic resulted in revenue decreasing 0.3% in 2020 alone as restaurants and schools were required to temporarily close or reduce capacity. Furthermore, elevated inflation and increasing fears of an upcoming recession are expected to result in industry revenue decreasing 1.0% in 2022 alone.