MNI Brief: BRC, FDF Seek Inquiry into UK Port Disruptions

UK retailers and food manufacturers have demanded an inquiry into the ongoing disruptions on UK ports as they are now seriously impacting retailers and consumers in the run up to Christmas. The British Retail Consortium and the Food and Drink Federation wrote to MPs requesting and inquiry noting that shipping costs have risen significantly with firms reporting a week-on-week cost increase of 25%.

Food manufacturers are badly affected by the delays, noting additional costs due to switching to alternative import sources and a loss in sales as a result of missed retail promotions ahead of the holidays.

"The lead up to Christmas is the most important time of year for retailers; ordinarily accounting for up a fifth of the entire year's sales and generating a large part of annual revenues. After a tremendously challenging 2020, many firms' cashflows are under severe pressure, and so businesses are in no position to absorb these additional shipping costs." Helen Dickinson from the BRC said.