SCOTCH whisky distillers have warned the current supply chain problems besetting industry are the “worst they have ever known”.
The whisky industry is among a range of sectors that are wading through severe supply-chain bottlenecks which in many cases have their origins in the fall-out from the pandemic. Companies have been dealing with the legacy of factory closures around the world that have been imposed during periods of lockdown.
Brexit has also been widely cited in some industries as Scottish exporters have faced a huge increase in paperwork, with the UK's exit from the European Union blamed as sectors such as hospitality have faced a massive shortfall in staff.
The scale of the difficulties facing the whisky industry was set out by Jean-Etienne Gourgues, chief executive of Chivas Brothers, who told The Herald last week that it was now taking 15 days for shipments to reach Spain when it used to take two to three. A range of factors, including shortages of dry goods, shipping containers and HGV drivers, are understood to be contributing to the malaise.
Asked to comment on how the challenges are affecting the industry, a spokeswoman for the Scotch Whisky Association told The Herald: “Ahead of the busiest time of the year in the run up to the festive period, there are significant pressures on the Scotch whisky supply chain, with some in the industry reporting to us that the supply chain pressures are the worst they have ever known.
“Our member companies are experiencing particular issues with the supply of dry goods – like glass and other packaging – into manufacturing sites, and also with getting Scotch whisky to export hubs to fill orders around the world. Increased lead times and the availability of shipping containers to fill with Scotch whisky in Scotland have also persisted.
“The supply chain disruption has been caused by a number of factors – the pandemic among them, but also a series of interconnected issues in the UK and international freight transport sector, including the chronic shortage of HGV drivers, which have combined to result in longer lead times when importing and exporting products.
“The Scotch whisky industry’s productivity is contingent on the smooth running of its supply chain, and the whole industry wants to see this resolved urgently.”
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