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UK’s hot summer set to cause procurement challenges

Written by: Supply Chain Online
Published on: 8 Oct 2018

BEER GARDEN PINTS

UK’s hot summer set to cause procurement challenges

A leading figure in eProcurement solutions has said there will be challenges ahead for the procurement sector to ensure that they can maintain supplies as usual following a long, hot summer that led to increased consumption and droughts.

Wax Digital’s Director Daniel Ball said that while food sales increased dramatically thanks to the hot weather that encouraged hordes of the UK to spend much of their time outside in the sun and spending in establishments, he predicted that it could be difficult to keep up with demand if the procurement sector was not careful.

Already, one of the leading supermarkets has released figures confirming it has had a record year for sales of certain items, especially beer and ice cream, as well as barbeque food.

To that end, more than one million each of burgers and hot dog rolls were shifted by this retailer, alongside some six million ice creams, and a whopping 50 million bottles and cans of beer, which shows just how much of a positive effect the weather can have on sales.

Despite these positive results, the supply chain is expected to see a downfall in production of certain crops such as grains, in part also because of the long, extended winter that the UK saw up until at least April, when snow was still falling in parts.

The reduction in yields of grain also has an effect on meat procurement, as there is less feed for pigs. As a result, the price of piglets at source has shot up.

Ball said the only way to cope was to plan in advance and deliver stronger contingencies for the supply chain to deal with increased weather fluctuations like the ones felt this year, and to lock down prices in advance to keep suppliers happy that they have fewer costs to pass on to their customers.