Jul 9, 20253 min read

By: Doug Baker, Vice President, Industry Relations

Chain between shipping containersIf you’ve worked in the grocery supply chain for more than five minutes, you know the only constant is change. But lately? That change feels more like a tidal wave. Tariffs, shifting consumer behaviors, rising costs, labor challenges is a lot. And if you’re feeling it, you’re not alone.

We’re hearing the same thing across the industry: it’s getting harder to move product efficiently, predictably and affordably. But we’re also seeing incredible innovation and resilience from teams who are choosing to collaborate rather than waiting it out.

Here are the key challenges at play.

Supply Chain Disruptions Are Forcing Real-Time Adjustments

Rising tariffs are raising costs not just on imported goods, but also on packaging, equipment and even fuel. It triggers sourcing shifts and logistical rewiring. Some companies are scrambling to find domestic alternatives. Others are stockpiling inventory in advance, which creates ripple effects throughout the system especially when dealing with warehousing space shortages and delivery delays.

And the customs side? Slower processing at borders is stretching timelines and stressing planning cycles. It’s all pushing us to rethink how we approach agility in a system that was built for stability.

Consumers Feel It Too

According to FMI’s U.S. Grocery Shopper Trends 2025 report, 70% of shoppers are extremely or very worried about rising grocery prices and 44% shop at multiple stores to get the best value. That puts even more pressure on retailers and brands to adapt fast and smart to align with consumer cost-conscious behaviors.

We're seeing manufacturers tweak formulations, rethink packaging and shift sourcing strategies to keep price points steady. On the retail side, shoppers are turning toward private brands and domestic products in greater numbers as they look for value and reliability.

At the same time, 78% of shoppers express concern over the impact of tariffs while 90% express concern over rising food prices (U.S. Grocery Shopper Trends 2025), highlighting just how closely consumers are paying attention to what’s happening behind the scenes.

Forward-thinking companies are responding by investing in smarter workforce strategies, more transparent communication and operational flexibility that helps build trust and resilience from the inside out.

So, What’s the Play?

The good news is we’re not powerless. This is where collaboration, visibility and technology come into play.

Retailers and suppliers need to be in conversation, not just about pricing, but about shared pain points and ways to adapt together. Technology can help with this: real-time tracking, demand planning tools, cost modeling software. These aren’t just “nice to have” anymore, they’re essential.

And that’s exactly why we’re prioritizing tech-driven innovation and launching the Supply Chain Exchange Trading Partner Meetings at this year’s FMI Supply Chain Forum, September 15-17, 2025, in St. Louis. These are not just meetings, it's a chance to sit down one-on-one and talk through real problems with the people who have real solutions.

This is a moment to lead through complexity, not wait for it to pass.

See you in St. Louis this September and let’s get to work—together.

Register for the Supply Chain Forum