Supply Chain Problems Caused by Brexit and Driver Shortages Affect IKEA

All of Ikea's 22 UK and Ireland stores have been affected by supply chain issues. Picture: Alamy

Following lorry driver shortages due to Brexit, retail giant Ikea is the latest business to announce supply chain concerns.

According to sources, the furniture company is dealing with a "perfect storm of issues" including disruption of global trade flows and a driver shortage, which have been compounded by the epidemic and Brexit.

Around 10% of Ikea's product range is estimated to be affected by the problems.

Labor shortages and Covid-19, according to a business representative, have impacted transportation, raw supplies, and procurement at all of the company's 22 outlets across the UK and Ireland.

Customers are also spending more time at home, resulting in increased demand.

Mattresses, among other products, are claimed to be affected by the shortfall at the famous homeware retailer.

The company is the latest in a long line of high-street retailers to have supply chain problems, as the retail industry continues to struggle with a shortage of 90,000 to 100,000 HGV drivers.

Wetherspoons, whose owner Tim Martin has publicly favored Brexit, recently announced that the pub chain was experiencing a beer shortfall as a result of a lorry driver and factory labor shortages caused by the epidemic and Brexit employment laws.

Meanwhile, McDonald's is running out of milkshakes and bottled drinks, and Coca-Cola is having trouble getting aluminum cans.

Chicken shortages were also reported by Nando's and KFC, prompting Nando's to close some of its locations.

The supply problems, according to the CEO of retailer The Co-op, are the worst he has ever seen.

Publish : 2021-09-04 11:46:00

Give Your Comments