The USA, and the rest of the world, is experiencing a never-before-seen surge in demand for product. However, this surge in demand for what we want and wanting it right now is causing a major problem in the supply chain.
What a Clusterfest: 2021’s Unprecedented Kinks in the Supply Chain
Oreos, Nike, jet fuel, Taco Bell, and locust bean gum. What do they all have in common? You will be hard-pressed to find them but, if you do, you can expect prices to skyrocket as we drudge through an unprecedented shipping crisis which is projected to get worse before it gets better.
The USA, and the rest of the world, is experiencing a never-before-seen surge in demand for product. As we slowly make our way out of the COVID pandemic, consumers are consuming more than ever before and, with services like Amazon and overnight shipping at our fingertips, we are not accustomed to waiting…for anything. However, the surge in demand for what we want and wanting it right now is causing a major problem in the supply chain.
This over-consumption is not only leading to a shortage of goods but also in the shipping supplies needed to get these goods from across the ocean to the USA. Like dominoes, this creates yet another problem: the shipping containers necessary for importing products are less available and now the prices for them have jumped from roughly $1,200 to an outstanding $20,000 in most recent reports – although, the prices are varying from $14,000 at some ports and $9,000 at others. This is a price increase of 500% from only one year ago!
Meanwhile, COVID and its variants continue to disrupt the labor force in the supply chain. Like the rest of the workforce worldwide, factory workers, truck drivers, seafarers, and airline workers have all been affected by outbreaks and quarantines. Many busy international ports have been partially shut down due to even just one infected worker – crippling the shipping industry even more.
The USA, along with the rest of the world, is trying to get back to normal and trying to do it fast. We want to regain the time and access to things we lost during the lock downs and quarantines. In doing this, we are further crippling ourselves not only for the upcoming holiday season but also the next year, and possibly beyond. Our over-consumption is leading nowhere good. The next time you place an order with The Pastry Depot, or any supplier, do yourself a favor and think far in advance, or expect to be a little disappointed if you don’t.
The Pastry Depot always strives to keep the products you need and love in stock. However, as these issues continue to trickle through the supply chain, we will unfortunately be affected. Products may be less available or may take a little longer getting to you. It isn’t all bad news though! When your go-to products are out of stock, we encourage you to try new items. We are always here to help and have so many amazing products to offer!