For a long time it seemed the much anticipated glut of mergers and acquisitions was a false prophecy.

Ever since the recession began, analysts have spoken of an explosion in takeovers, mergers and insolvencies, but so far this has been little more than a trickle.

But there is evidence that is starting to change. This week’s news that Vitacress is buying up the VHB nurseries follows recent deals such as Fresh Direct’s merger with Coopers Produce and Fresca’s acquisition of Liverpool Produce Terminal.

In Grant Thornton’s survey of senior food and drink company executives (p1), no less than a fifth claim they plan to broker a merger or acquisition over the coming year.

It is a sign that - despite the obvious fragility of the economy and the impact of the government’s swingeing spending cuts - companies are turning a serious eye to how they can capitalise on their rivals’ weaknesses and expand.

Another organisation making light of potentially disastrous government cuts is EFFP, which instead of lying down and facing a bleak future has found a new way of moving forward (p4).

EFFP is putting all its business acumen to use in establishing an agri-food consultancy, staving off the threat to its future and securing an income stream that will not depend on the whims of the Chancellor.

This is exactly the kind of innovative thinking that can help industry organisations survive despite the clear threats that remain to their future.