Recession causes Kiwis to loosen belts

Published: 6:36PM Sunday March 28, 2010 Source: ONE News

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The recession may have forced us to tighten our belt in some ways but let it out in others.

A surge in profits for fast food companies is being attributed to the economic downturn.

Restaurant Brands, which boast some of the big fast food names like KFC and Pizza Hut, is expecting a massive jump in profits of almost 70%.

However, those who supply fruit and vegetables to supermarket, haven't fared quite as well with sales taking a major hit last year.

Turners and Growers say that despite all the work that's gone into promoting the concept of five-plus a day, the economic slump has led to a huge slump in healthy eating leading their profits to slump by 34%.

They estimate many people are only getting four serves or less of greens each day, but they are optimistic we'll be back on the healthy eating track by the end of the year.

"People move from healthy foods to high fat foods, high salt foods in a recession," says Turner and Growers' Jeff Wesley.

"Until the recession really works its way out of the system we don't see a great turnaround, although clearly the fast food guys do very well."

Very well indeed.

Restaurant Brands is projecting major profit growth, 67% up on last year. That's a big slice of financial pie, or pizza as the case may be.

All very frustrating for those promoting a healthier diet.

"Fast food producers have unlimited ability to promote the foods that we don't want New Zealanders to eat," says Robyn Toomath of Fighting Obesity Epidemic.

The trend's expected to last a while yet.

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