The shortage of wooden pallets has produce industry concerned about getting product to market, and President Biden intends to talk about the JBS cyber attack in his upcoming meeting with Russian President Vladimir Putin.
Pallet Shortage Concerns Producers and Biden to Talk JBS with Putin
Wednesday Jun 9th, 2021 From the Ag Information Network, I’m Bob Larson with your Agribusiness Update. In the wake of water shortages, food processors have reduced the number of tomatoes they plan to buy from California farmers.
A new government estimate says tomato acreage will be down nearly 4% from an original planting-intentions survey released in January, citing water availability concerns.
It says planted tomatoes have been “developing nicely,” and the overall crop could still be larger than last year’s. The United Fresh Produce Association is voicing concerns that pallet shortages, have the potential to affect the availability of produce to consumers.
Ag News: Biden to Talk JBS with Putin and Pallet Shortage President Biden will meet President Vladimir Putin as planned on June 16, after holding Russia culpable for the ransomware attack that crippled meatpacker JBS.
A White House spokesperson tells www.agriculture.com, the administration is engaging directly with the Russian government on this matter and delivering the message that responsible states do not harbor ransomware criminals.
JBS was hit by the attack in North America and Australia, but says our systems are back online, and we are not sparing any resources to fight this threat.
The United Fresh Produce Association is voicing concerns that pallet shortages, have the potential to affect the availability of produce to consumers.
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Rising lumber prices, trucking issues, and high demand are contributing to a growing worldwide shortage of wood pallets - nearly doubling prices.
Demand is mostly coming from retailers and grocers trying to restock their distribution and fulfillment centers. Consumers are continuing to spend on goods over services.
Savannah Pallets, one of the Midwest s largest pallet makers, told Transport Topics that it s a perfect storm. The company believes it s a combination of a trucking shortage, a surge in the economy as COVID dies down, and a lack of output from sawmills.
Minnesota-based Viking Pallets told Transport that it s turning away new customers to take care of existing ones.
Key. Companies seek new partners, look for other solutions.
“Prices are going up. They’ve tripled,” he says. “When we price out a job, it’s a lot higher and that’s because of the materials. Not the labor.”
What Simón sees is exactly the same thing contractors, builders and manufacturers across Florida and the country are seeing. Prices for materials, particularly lumber, have been continually rising while simultaneously becoming scarce. That s led to a perfect storm of obstacles that, in turn, has led to high anxiety among builders and contractors. The fear? Continually rising prices and material and labor shortages will crater their industry, just as they are counting on an economic rebound.