Chipotle’s move toward GMO-free supply chain will raise prices for consumers

Chipotle Mexican Grill and Panera Bread for years have led the fast-casual restaurant segment, and their moves away from genetically modified organisms (GMOs) and toward more natural ingredients are likely to remake and influence the industry once again.

Chipotle’s and Panera’s moves to phase out GMOs or antibiotics from their restaurants will put a major strain on the restaurant industry’s food supply. If there were enough non-GMO corn and soybeans for Chipotle’s products today, the chain would already be using them in all its stores. In all likelihood, it will take years for the supply chain to meet the needs of Chipotle, Panera and other restaurants that take up the cause.

Genetically modified seeds increase crop yields for corn and soy, which not only made up the nation’s bread products and Chipotle’s tortillas and frying oils, but also are found in much of the animal feed that produces the beef, chicken and pork we eat. Chipotle is still allowing GMOs in animal feed for the meat it buys, but nobody would be shocked if the chain thought about ending that practice as well. When a move away from GMOs constrains the supply of grains and proteins, the ingredients restaurants need will command higher prices, which will translate to higher menu prices for a lot of consumers.

The GLP aggregated and excerpted this blog/article to reflect the diversity of news, opinion and analysis. Read full, original post: GMO Purge Could Create the ‘Chipotle of’ Supply Chain Challenges for Restaurants

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