Dive Brief:

• Compass Group, a world leader in the food industry announced that it will source only cage-free eggs for its global shell and liquid supply chain by 2025.
• The timeline is a little earlier for Compass to go cage free in the U.S. with the company targeting 2019.
• In a survey conducted by the Anima Welfare Institute for the American Society for the Prevention of Cruelty to Animals, 77% of American consumers said they are willing to pay more to ensure concerned about the welfare of animals raised for food and are willing to pay more.

Dive Insight:

While cage-free satisfies a growing consumer preference, it presents a crop of problems for farmers and suppliers. Switching to cage-free systems are more labor intensive which translates into more money to manage the process. Compass comes in with a global network in place, which should make for a smoother transition. 

Look for food manufacturers to continue to push for humane conditions and for more secure transport for products. This will put pressure on the supply chain to navigate towards updated processes.