News

How industry can future-proof food procurement

Global food supply chains must adapt procurement strategies to remain resilient and sustainable, according to a World Economic Forum paper.

More than 60 heads of state gathered in January at the World Economic Forum's Annual Meeting 2026 in Davos, Switzerland, under this year's theme “A Spirit of Dialogue”. The international NGO draws together political leaders every year to address the most pressing global issues and create space to reach agreements and solutions. Alongside the event, a flurry of white papers are released under various themes, delving into the latest research, data, and analysis to educate and inspire change.

The ‘future resilience’ of food

This year, the World Economic Forum released a paper on the future of global food procurement: First Movers Coalition for Food: CEO Lessons for the Future of Food Procurement, in collaboration with management consulting firm Bain & Company. The paper outlines a vision for how global businesses can future-proof food procurement in light of current market and climate challenges.

“For a century, food supply chains have been feeding a growing global population with unprecedented efficiency. However, they were built to operate in a stable climate, with more predictable costs and consumer demand. Today this stability is being challenged by pressures both outside and within the food system – from geopolitical shifts and population growth to rising climate and nature impacts,” the World Economic Forum wrote in its paper.

“In this context, businesses face increasing risk and pressure to adapt, driving demand for resilient and sustainable solutions. The choices companies make in what they buy and how they buy it will define the future resilience of our food system.”

‘Bold demand-side leadership’ is needed

The NGO said that whilst a host of proven sustainable food procurement strategies already exist – the likes of regenerative farming, water management and lower-methane approaches – very few make it past pilot stages. “What's often missing is bold demand-side leadership: strong, credible market signals that unlock finance, align value chain partners, and give farmers the confidence to invest.”

Some large scale examples of success do exist. Nestlé, for example, sourced 21.3% of its ingredients from farmers adopting regenerative agricultural practices in 2024 and PepsiCo sourced 66% of its key ingredients from sustainable sources across 60 countries over the same period.

Coca-Cola has established comprehensive requirements for ingredient suppliers around quality, food safety, and sustainable agriculture, including due diligence processes and compliance tracking, while Danone signs three- to five-year contracts with dairy farmers, offering stability and lower overall risk.

According to report findings, based on in-depth executive-level interviews and multiple case studies, approaches can be successfully scaled if accompanied by “consistent dialogue with suppliers and farmers” and careful management across entire company operations and supply chains.

Several best practices can be followed to strengthen the future of food procurement, the World Economic Forum said.

Efforts must be made to mature sourcing systems, for example, taking them beyond basic sustainability improvements to connected procurement models. Strategic sourcing pathways should also be looked at, like spec-anchored sourcing and decoupled sourcing, to help grow resilient, sustainable systems–potentially different depending on commodity. And finally, partnerships must be strengthened and corporate operations aligned to help “unlock change at scale”.

Resilience becoming as important as cost-efficiency

The paper said building resilience today is becoming as important to procurement as pursuing cost-efficiency, particularly amidst climate volatility, changing consumer preferences and regulatory and stakeholder pressures.

“Now is the time to bridge the gap between ambition and execution,” the World Economic Forum said. “In an era defined by uncertainty, building resilient food supply systems capable of delivering sustainable sourcing at scale can help create long-term business value and ensure food security.”

The NGO is already working to drive change via its First Movers Coalition for Food platform, which brings together major food companies and buyers to share strategies that support real-word impact. Its goal is to build early demand for low-emissions and nature-positive goods and services to scale up sustainable global food supply.

The coalition's work spans the globe, with working groups in South East Asia, North America, South America and various developed markets, and its members hold combined revenues of more than US$900 billion.

“Preparing for the future requires careful thinking about every aspect of how companies procure, invest and collaborate along supply chains,” the World Economic Forum said. “Organisations should adopt an approach that embraces the potential for system-wide change, but with the flexibility to cope with real-world complexity.”