🎈 Up Big Today: Find today's biggest gainers with our free screenerTry Stock Screener

Britain's fresh food supply at risk until Dover backlog cleared

Published 12/23/2020, 07:28 AM
Updated 12/23/2020, 10:05 AM
© Reuters. FILE PHOTO: Lorries are parked on M20 motorway near Ashford
DOV
-
TSCDY
-

By James Davey

LONDON (Reuters) - British supplies of some fresh food, mainly fruit and vegetables, are at risk of running out until a backlog of trucks at the port of Dover (NYSE:DOV) is cleared and links with France return to normal, the UK retail industry said on Wednesday.

A partial blockade by France to try to contain a new highly infectious coronavirus variant has left thousands of trucks stranded in Dover, Britain's main gateway to Europe, in the run-up to Christmas.

Paris and London agreed late on Tuesday that drivers carrying a negative COVID-19 test result could board ferries for Calais.

A British minister said the military would start testing drivers, but that it would take time to clear the backlog, hammering Britain's most important trade route for food days before it leaves the European Union's orbit.

"It is good news for consumers as the French borders have now reopened, however it is essential that lorries get moving across the border as quickly as possible," said Andrew Opie, director of food & sustainability at the British Retail Consortium (BRC), which represents more than 170 major retailers including the big supermarkets.

"Until the backlog is cleared and supply chains return to normal, we anticipate issues with the availability of some fresh goods," he said.

The BRC and Britain's two biggest supermarket groups, Tesco (OTC:TSCDY) and Sainsbury's, have been warning since Monday that gaps will start to appear on store shelves unless transport ties with mainland Europe were quickly restored.

The main products seen at risk are lettuce, salad leaves, cauliflowers, broccoli, citrus fruit, raspberries and strawberries.

Supermarket groups have said they have plenty of supplies for the Christmas holiday but are concerned about availability next week, particularly if no free trade deal with the EU is secured by Jan. 1.

They are facing record Christmas demand because of COVID-19 restrictions on the hospitality industry and on travel and there are fears of panic buying.

© Reuters. FILE PHOTO: Lorries are parked on M20 motorway near Ashford

However, they have said customer behaviour has in the main been rational so far with shoppers supplementing their normal Christmas purchases with one or two extra items, such as pasta and toilet roll.

Despite this, Tesco has reintroduced some customer buying limits on toilet roll, hand wash, rice and eggs.

It already had limits on flour, dried pasta, baby wipes and anti-bacterial wipes.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.