Nestle admits facing supply chain issues ahead of Christmas
Struggling with supply chain issues, Nestle has said it is working hard to make its products hit the shelves this Christmas.
The struggle was attributed to a labour crunch and also a chronic shortage of Heavy Goods Vehicle drivers.
Bottlenecks in shipping world over also are a major factor, according to the firm, for the supply delay.
Nestle is the world’s biggest producer of dairy products and has Kitkat, Quality Street, and Lion Bars among its vast range of products.
Its Chief Executive Mark Schneider said the firm’s working hard to deliver the goods in time.
“Like other businesses, we are seeing some labour shortages and some transportation issues but it’s our UK team’s top priority to work constructively with retailers to supply them,” he said as per a BBC report.
Asked if he could ensure Quality Street would be in the shops this Christmas, he replied: “We are working hard.”
Schneider also spoke about the challenges the dairy industry is facing owing to changes in eating habits among young and affluent amid rising climate change concerns.
He acknowledged more people are shunning non-dairy products for soy and oats-based ones, and said he is working to introduce these items among the company’s products.
Schneider was in the UK to launch a range of non-dairy plant-based food items, ahead of a major climate summit in Glasgow next month.
He said the cost of producing plant-based food may prove to be high initially, but it will come down eventually with the kicking in of economies of scale.
Nestle, an international firm, works with hundreds of thousands of farmers and sources its raw material from millions of cows.
“We think less meat and dairy is good for the planet, but it’s also good for diet and health, and it is also a big commercial opportunity,” Schneider said.