The world has seen huge upheaval in the last two years with firstly the COVID-19 pandemic quickly and consequently followed by massive disruption for international shipping and skyrocketing prices.
A deeper dive into the shipping and logistics cost influencer identifies container misplacement meaning they end up in restitution in the “wrong” ports around the world. In addition there are long waiting times for ships at ports for unloading/loading due to a combination of a) rapid recovery in the global economy and b) change in demand from services to goods plus c) port closures because of localised outbreaks of COVID-19.This has put huge strain on the availability of shipping and a scarcity of raw materials, with a subsequent knock on effect of vastly increased costs, in many cases prices have tripled or even quadrupled.
The major geopolitical influencer is the ongoing conflict in Ukraine which has resulted in the sharp rise in oil and gas prices globally. This is obviously the least of the concern from a humanitarian standpoint, however it has had immediate impact on the cost of doing business and if not mitigated in the near future will have continued effect on economies worldwide.
Predictions are that it will be well into 2023 before we see things balancing out again and this is in regard to the covid wave; the domino effect has caused sharp rises in raw material prices leading to unprecedented increases in manufactured goods. We are navigating a changing landscape for business and for sourcing and provision of raw materials. All of us need to be innovative.
During Q4 of 2021 Archem PRS secured supplies to protect against raw material scarcity and partially insulate against price increases, we continue to work with emerging global impact to ensure we deliver a quality service and the best product with the least environmental impact whilst taking the cultural needs for markets into consideration.
All Archem products continue to be manufactured to the highest quality. Archem powders are halaal and kosher verified, contact us to have a free consultation with a specialist and review our product page for accreditation and ways to partner with us.