Supply Chain Is Executives’ Top Concern

Supply-chain problems are at the top of the list of concerns for food & beverage companies, according to a survey by Mazars.

According to the consultancy’s annual Food & Beverage Industry Outlook, 57% of industry executives see “shipping costs, container costs, and/or other unexpected fees at ports.” Thirty-nine percent said they need “supply chain improvements.” Concerns also arose in other aspects of the supply chain: shipping congestion at 38%, and availability of trucks and drivers, at 33%.

Companies plan various strategies for dealing with these problems, including:

• Increase the number of suppliers they’re using (45%)
• Source more ingredients and supplies domestically (30%)
• Seek alternative ingredients or other products (30%)

“The food and beverage industry continues to show resilience in the face of many obstacles,” said Kristen Walters, Mazars Food & Beverage practice leader. “Business leaders are overcoming supply chain issues and inflation woes by making innovative decisions that are resulting in new products and purchasing channels for consumers.”