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FROM electronic chips to chicken nuggets and from hypertension medication to cars, computers and designer clothes, products are running short everywhere. Sparse shelves in supermarkets have become the new norm.

“I waited for more than 10 months to get my car,” says Anis Ahmad (not her real name), one of the many consumers being affected by the ongoing global supply chain crisis.

A leading grocery chain owner explains the situation, “As new variants hit Europe, the United States and Australia where most of our imports are sourced, there will be disruption in supplies in the near term.”

His chain has sought to mitigate matters by expanding its sourcing of products so as not to face shortages if and when new Covid-19 clusters appear near manufacturing plants.

Channel checks show that many retail store owners say they are hard-pressed to take on new orders on certain items “as we don’t know and cannot promise when these items will be in our stores”.Demand rising: Customers buying fruits in a grocery store in Spain. There’s no indication that supply chain disruptions will ease globally in 2022 as bottlenecks at ports, labour shortages and capacity crunches remain widespread. — Bloomberg

The supply chain disruption also hampers producers from securing their raw materials.

Globally, multinational companies like McDonald’s, Apple and Toyota have been facing production issues due to this.

The movement restrictions in the past two years have caused the global supply chain disruption.

One early sign was when factories around the world had to trim down operations to help curb the infection of the Covid-19 pandemic in their countries.

This was followed by several new waves of Covid-19 that sent countries on a few rounds of lockdowns at different periods.

CJ Century Logistics Holdings Bhd executive director Edwin Yeap says the pandemic has disrupted nearly every aspect of the global supply chain. He says there are massive dislocations in the container market and warehouses are full to the brim.

Compounding matters is a serious shortage of workers. It has been well documented that during the pandemic, large numbers of employees left their jobs, either through retrenchments or resignations. Many had opted to begin their own online businesses or join the gig economy.

He adds that in the rush to reopen economies across the globe, new job opportunities had come about, leading employees to change their jobs, especially securing ones that paid better.


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