In the July/August 2023 issue of Food Logistics, I wrote about how food supply chains should brace for impact. While supply chains started to heal, the damage was done.
Inflation, rising fuel costs, labor shortage, product shortage and a slew of other disruptions continue to compound the supply chain landscape. Possible port strikes on the East Coast, natural disasters such as hurricanes and forest fires, cargo fraud and continued political tensions overseas all hold strong, forcing many professionals to be on their toes and in position 24/7.
And, let's not forget, it's Election Year!
Now, more than halfway through 2024, it's safe to say that most of this still rings true. But with every challenge comes an opportunity for innovation.
A CargoNet survey recorded 771 theft incidents in Q2 of 2024, representing a 33% increase compared to the second quarter of 2023. However, the U.S. online grocery market finished June with $7.7 billion in monthly sales, an 8% increase over last year, according to a Brick Meets Click study.
An Aras article shows that nearly three out of four companies say they feel pressured by customers, investors, and even their own workforce to operate more sustainably. A study released by Carbon Direct and Wakefield Research shows that only 4% of companies survey are lacking a plan for climate action.
Global shipping costs surged in the first half of 2024 and average container prices continue to rise, according to Container xChange, but U.S. container import volume continues to show robust growth, with June volumes increasing 10.4% over the same month last year, according to Descartes Systems Group.
And while cargo thieves and natural disasters disrupt how cold food products move through the chain, emerging technologies such as blockchain, artificial intelligence, machine learning, track-and-trace solutions and more help companies re-write the narrative to fulfill the cold chain journey.
Earlier this year, I dubbed 2024 the Year of the Rabbit. According to Chinese culture, the Rabbit is a symbol of longevity, peace and prosperity. I'm not quite sure we're there just yet, but I do believe it's also the Year of Rebuilding Supply Chains and Embracing New Relationships. With every challenge comes an opportunity for innovation. Here's to Continued Innovation!
