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Inflation is driving changes in the foodtech industry, as consumers face dwindling spending power that is shifting buying habits.

A recent report from the Bureau of Labor Statistics estimates that the cost of groceries increased 10% year-over-year in May. Major grocery chains like Kroger are responding by teaming up with grocery fulfillment providers to build automated distribution centers that will save on costs in the long run.

Meal kits could be making headway again, despite the headwinds of supply chain problems and inflation, as the category experienced a resurgence in popularity at the beginning of the COVID-19 pandemic. There were several investments in that space during Q12022 such as UK-based Gousto, which raised $148.2 million in funding.

What else have VC investors placed in their cart? The market map below outlines the global foodtech ecosystem. You can explore the industrial and consumer tech segment by clicking on the green tile.
 

This article originally appeared on PitchBook News