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The price of food and beverages often fluctuates widely. Price changes are often due to supply & demand (is there enough to supply the demand, or is there far too much?). Prices may also change due to specials and promotions, particularly if businesses are competing against one another. This may increase or decrease the food & beverage costs.
Some food & beverage products - particularly fruit & vegetables - are seasonal. These goods are most likely to be available (and at their best quality) during a particular time of the year. If you wish to use these goods out of season, they are much more difficult to get and may have to be imported from other countries, making them cost much more. Buying out of season fruit and vegetables increases / decreases the food and beverage costs. Eg, using fresh strawberries in winter or using feijoas in summer
Many factors affect food & beverage costs. It is important for all employees in hospitality operations to understand what factors may affect food cost and how (increase or decrease), so that they can help to prevent increasing food & beverage costs wherever possible.
Buying large pack sizes of unusual ingredients that you use for one off menu items, but may not be used again for a long time will allow it to go off. Ensure you are purchasing the size item to your requirements
F&B stored in inappropriate conditions will spoil (a type of wastage). You have already paid for this f&B, but cannot use it to make meals or drinks (and or get your money back). Poor storage conditions will increase / decrease the operations total food & beverage costs.
eg, leaving milk at room temperature in the kitchen or storing ptoatoes in plastic bags in a warm place so they sweat
and rot
Some suppliers will charge courier / delivery charges in addition to the cost of goods (especially if the business is not in the local area). This can significantly increase / decrease the cost of your food & beverages.
Nearly all suppliers transport their goods (if only from there premise to you). Fuel costs, therefore, are a part of the total costs suppliers have to cover in the price they charge to you for the food. If fuel costs increase, food & beverage costs also change accordingly
Where you store your food & beverage should be in appropriate locations in your kitchen / drystore. A clean orderly, efficiently run store is an essential part of a food business because it:
-ensures you always have a suitable level of all stock
-Prevents wastage
- Controls costs