As we crest the first half of the calendar year, we are sharing the 7 top trends facing the produce industry in 2022.
1 – Supply Chain Pain
This year, the produce industry faced one of the biggest global challenges we have ever experienced. Delays in transit times doubled. Ocean carriers opted out of ports, increasing logistics costs and complexity with growers having to resort to costly increased freight rates. Shortages persisted for equipment, chassis, and drivers. This in turn would leave retailers with 4 weeks’ worth of shipments arriving in the same week, an impossible volume, and carriers refusing to reduce demurrage. Costs across the board have increased 300-400% with no relief anticipated until Q2 of 2023.
2- Managing Covid Congestion in the Global Supply Chain
What the global supply chain needs more than ever is stability, agility, and support. All actors must be agile in managing their supply chains, and we need to know that regulatory frameworks are stable and functioning. Close communication and collaboration across the supply chain is the key to creative and least-cost solutions for customers. The crew change crisis remains and this appeals to all governments to recognize seafarers as key workers and prioritize vaccination.
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