Some businesses warn they are struggling to procure summer products as people prepare a staycation in the UK. This includes a shortage of items such as garden furniture, camping equipment, outdoor toys and picnic baskets.
According to figures, around 60% of British suppliers have experienced import delays in the past month. Part of the blame for this is the blockage on the Suez Canal in March that lasted for six days. The problems earlier in the year mean there is a backlog of goods. Items that were supposed to arrive weeks ago are still held somewhere on container ships.
But this is not the only issue having an impact. The coronavirus pandemic has caused an increase in demand, as more people decide to holiday at home in the UK rather than travel abroad.
The Covid crisis in India also led to shipping disruptions and a shortage of packaging materials.
Competition for container space is high at the moment. This means some smaller companies are priced out of getting the goods and materials they need.
Supply chain issues
With Covid restrictions and measures for international travel imposed by the government, more British families are looking at domestic holidays. Government’s decision to move Portugal to the amber list has increased uncertainty on overseas holidays, as holidaymakers now scramble to get back home to the UK.
The rules on international travel have resulted in a spike in demand for products such as camping equipment.
Many popular products are manufactured in China so retailers are affected by shortages in their supply chains. Retailers in the US are also experiencing similar issues with getting their hands on summer essentials.
Camping and outdoor equipment retailer Attwoolls is still awaiting the arrival orders they placed back in October. Due to the Suez Canal blockage, they currently have nine containers of camping equipment, outdoor clothing and hiking gear stuck in Egypt.
The store has experienced a rise in sales, and are extremely busy this year. But they fear, as a small business, they run the risk of soon being unable to meet the demand due to supply chain problems out of their control. For example, garden furniture they would usually source from China was all bought by American superstore Walmart.
Other products held up by delays include picnic baskets and garden toys and games.
Retailer PomPom are experiencing delays of up to four months on wooden toys coming from the Far East and handmade baskets. In addition, they have had to wait 16 weeks for cardboard boxes.
Explosion of demand
Shipping delays are just part of the problem though, there are other factors having an impact.
The hospitality industry are also causing increased demand, as they reopen following lockdown. As Covid restrictions began to ease, businesses were only allowed to serve outside, to ensure social distancing. To boost income and bounce back from prolonged closures, restaurants, pubs and hotels had to provide outdoor dining areas. They had to up their game and invest in more outdoor equipment to cater for as many customers as they can. In order to survive, businesses must enhance their outdoor offerings to entice custom.
Competition for outdoor products increased, as demand rose, causing further challenges.
Businesses admit they are struggling to secure items, especially from the general hospitality supply chains. Instead they are having to resort to using a domestic consumer route, and online retailer Amazon.
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