It’s being widely reported at the moment that warehouse space in the UK is running low, amid companies stockpiling goods in case of a no-deal Brexit.
Global companies are looking to prioritise goods and implement measures to form a surplus whilst such cargo can still enter the country. It’s not an task, with some larger corporations having to make difficult decisions on whether to place more value on storing goods which keep people in work – for example, components to keep machinery working – or on food items.
Demand for temperature-controlled warehouses is also on the increase, with supply limited. Among other companies, Amazon is being blamed for the difficulties in finding space to stockpile products such as medicines, dry ingredients, and manufacturing parts. According to the director general of the Food and Drink Federation, Ian Wright, “There is some gossip… that quite a lot of this [space] has been booked by Amazon for their entry into the food market at some point in the next few months.” Amazon have declined to comment thus far on their warehouse bookings.
The government, however, has warned supermarkets to keep their stock levels as high as possible ahead of March’s exit deadline, with concerns that the UK’s largest trading route between Calais and Dover could drop to just 13% of current capacity.
Other initiatives to solve the issue of stock shortages include the search for alternative routes for cargo to be transported into the UK.
Sarah O’Connell, Senior Editor, Freight Media