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From drought and oil prices to global trade and biosecurity concerns, the factors that influence your food costs occur long before products reach your kitchen. Staying ahead of complexity, especially when much of it is out of your control, requires an eagle’s-eye view that goes far beyond everyday purchasing decisions. That’s where your food GPO’s supply team comes in. At Entegra, Dr. Henry Zerby is the go-to expert on proteins. Armed with a Ph.D. in Protein Science and a burning curiosity to get to the heart of complex supply challenges, he serves operators as Entegra’s VP of Supply Management – Food and serves his community as an active cattle and sheep farmer.
Ahead of Entegra's Fall/Winter 2026-27 Cost Outlook webinar, we sat down with Dr. Zerby to chat about the forces shaping protein costs, emerging supply chain risks and what operators should keep on their radar heading into 2027.
Dr. Zerby: There are multiple risks affecting the supply chain today. Three of the biggest challenges are geopolitical conflict, extreme weather and disease. In the Middle East, rising energy and ocean freight prices are the largest concern. And Ukraine is the breadbasket of Europe, so the conflict there is having an outsized impact on the European price of wheat.
Dr. Zerby: Why should American business owners care about the European price of wheat? For now, most of the wheat we buy here in the U.S. is produced domestically. However, extreme weather conditions — like El Niño, widespread drought, changing temperatures or even wildfires — all impact the U.S. grain supply. This makes American businesses more reliant on imports.
Dr. Zerby: On the protein side, biosecurity is a growing risk. The industry is still dealing with the impact of avian flu and New World screwworm. At the farm level, producers have incorporated many new practices to boost biosecurity protocols. For example, some farmers are now using infrared laser technology to help reduce their birds’ exposure to wild birds that can carry disease.
Dr. Zerby: This is all just a microcosm of the larger issue of fragility, but that fragility is not where you might expect. Entegra operates the world’s largest and most resilient supply chain — but if we only focus on the American market, we’re making decisions with blinders on.
That’s why I believe it’s critical to develop a comprehensive understanding of what’s happening globally with the commodities your business depends on. This can feel like a Herculean task, though, especially when you’re already running a business full time. As a supply management expert at Entegra, my job is to help you maintain a holistic look at the market so you can focus on your business.
Read more: Who’s watching your back? How a GPO can help you reduce costs
Dr. Zerby: There are two types of risks I tell operators to be aware of: intrinsic and extrinsic. Extrinsic factors are the things you don't have control over, but they influence the environment you operate in. Intrinsic factors are things we have more control over and we can manage. Entegra can help operators manage both types of risk. For now, I’m going to focus on extrinsic factors since these are the types of macro indicators that can function as an early warning system for food costs.
Here are 3 early warning indicators that your food GPO (group purchasing organization) can help you monitor:
Dr. Zerby: Water is necessary for all life, so one critical factor my team pays attention to is drought. Drought affects both pasture and hay production for livestock, as well as the growing conditions and ultimate yields for domestic cereal grains. All of this can deeply affect food costs, and so to keep tabs on this, my team reviews USDA-published weather maps, specifically drought maps and precipitation maps. We also watch the amount of moisture in key areas of the country to monitor the quality of crops that we know farmers are growing there.
Dr. Zerby: The price of crude oil impacts everything that we do. It’s the single most influential economic indicator. The price of oil directly influences the price of gasoline. The price of gasoline, therefore, has a knock-on impact on consumers' disposable income, which also affects their purchasing behavior.
The price of fuel, especially diesel, is also associated with the production of every product your business relies on. For example, much of our packaging is made with polymers, or plastics, so they ride that petroleum market. It’s a really interesting problem, and one that my team is constantly monitoring.
Read more: Crude oil report: What rising fuel costs mean for your business
Dr. Zerby: Another factor we pay special attention to is the strength of the American dollar. When U.S. producers are exporting and importing massive amounts of food, the strength of the American dollar can dramatically affect prices, more than many operators might realize.
The buying power of the American dollar versus that of international currencies can impact which countries are willing to buy American products and vice versa. My team watches the strength of the currencies of the United States’ key trade partners because globally, each trade partner is competing on price, and that in turn impacts the prices operators pay for the products they need.
Dr. Zerby: This year’s Cost Outlook report has evolved to be even more comprehensive across a greater number of categories. That’s intentional — our markets have also evolved. I think more operators are starting to understand the true global nature of the marketplace, and that understanding provides new opportunities to find different solutions. That’s exciting to me.
I always recommend operators follow a philosophy of continuous improvement. The status quo is the enemy. The more you work with your food GPO to understand production systems, supplier challenges and the partners several steps up and down the supply chain, the better conversations we can have and the better decisions we can make as a team.
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Entegra's Supply Management team helps operators reduce costs, manage inflation and make smarter purchasing decisions. The team monitors market conditions, negotiates contracts, evaluates supplier performance and identifies cost-saving opportunities across food, beverage and non-food categories.
By combining purchasing expertise with market intelligence, Supply Management helps clients stay informed about pricing trends, supply chain disruptions, commodity markets and contract opportunities that may impact their business.
Entegra's Supply Management team delivers a variety of reports and resources designed to help operators navigate inflation, supply chain challenges and changing market conditions, including:
These resources help operators anticipate market changes, budget more effectively and make informed purchasing decisions.
As the world’s largest food GPO, Entegra helps operators manage inflation through strategic contract negotiations, purchasing guidance and ongoing market analysis. The Supply Management team works to secure competitive pricing and identify opportunities to reduce costs without sacrificing quality.
In addition, clients receive regular market intelligence reports, inflation updates and commodity insights that help them understand cost drivers and respond proactively to changing market conditions.
No. While Entegra is the world’s largest food GPO, it also helps operators tap into $50 billion of purchasing power and a supplier network of 2700+ to save on everything, including:
A world leader in hospitality procurement, Entegra's client teams deeply understand your industry, providing you the expertise, availability and transparency your business deserves.
Entegra's Supply Management team continuously tracks market conditions, supplier activity and product availability across key categories. When disruptions occur, the team communicates updates, evaluates alternatives and works with suppliers and distributors to help minimize operational impacts.
This proactive approach helps operators maintain continuity while identifying alternative products or sourcing strategies when needed.
Entegra's Supply Management team analyzes purchasing trends, supplier pricing and market conditions to uncover savings opportunities. This may include contract optimization, product substitutions, category reviews and recommendations based on current market dynamics.
Because the team maintains ongoing visibility into pricing and supply trends, operators can make purchasing decisions based on current market intelligence rather than reacting after costs increase.