Keeping you Informed about Food Supply
Organized and provided by Glenn Beck at Blaze TV, March 16, 2020
- Food producers and supply chain managers say there is generally enough nonperishable food on shelves, in warehouses and on the production line to last several months. But labor shortages due to a shut-down, illness or travel restrictions could create localized supply disruptions.
- The challenge could soon be getting that food to the right places once local distribution centers are wiped out.
- In addition, millions of Americans, who previously got food at restaurants or in school or at work cafeterias, will have to serve themselves at home, with food bought from grocery big-box enterprises.
- "The replenishment cycle is going to be the real test here," said Sean Maharaj, a supply chain expert and managing director at AArete, a consulting firm in Chicago. "Manufacturers don't sit on a lot of extra inventory, so what do you do when everything you have is depleted?"
- Beyond that, industry officials acknowledge some uncertainty about how exactly they will be able to replenish their stocks if factories and ports worldwide are short-staffed.
- Over the past decade, retailers have moved aggressively to become more efficient by slimming down on inventory instead of stockpiling in warehouses.
- "Turns out Just In Time delivery systems have a downside," said Maharaj.
No comments:
Post a Comment
Your comments are welcome: