Pallet Network Problems
Our Pallet Networks are currently seeing an overwhelming increase in volumes and in some areas in excess of 100% uplift above the normal seasonal peaks. This in term has allured to the perfect storm being experienced and has put a posed a significant challenge for the industry. Please see open letter from the Association of Pallet Networks
APN Open Letter May 2021
We are currently unable to delivery to these postcodess until after the 20th May G1-4 G9-31 G33-40 G54-70 G80-90 FK4-7 FK 15-20 FK89 PH42-44 KA27-28.
Following the re-opening of retail and the food & drink industry, they have seen both the initial surge of businesses stocking up on supplies and subsequently perpetual replenishing of stocks all being sent through the network and this has been a major driving force in these unprecedented volumes. In addition to this, has seen the re-opening of self-catered ‘staycations’ and these self-catering holiday facilities have also been a significant contributor to a demand that has outgrown resource in various areas of the country, in particular the South West and South East, as well as parts of the North West.
There has also been the announcement from Road Haulage Association on driver shortages and how this has significantly impacted the sector. Pre-Covid, the industry was suffering a shortage of drivers in excess of 250,000, and since the pandemic hit last year this number has continued to rise. With the cancellation of tests due to the pandemic the number of new passes has reduced from the thousands to the hundreds for this year to date. Following the exit of many EU drivers who went back to their native countries as a result of Brexit, subsequent legislative requirements are proving too restrictive for them to return and work in the UK.
When this pandemic hit and many logistics companies saw an initial impact of reduced volumes, they took the sensible decision to ‘right-size’ their businesses to ensure survival. This meant reducing truck and trailer fleets, which led to the subsequent knock on effect on manufacturers causing them to reduce their production facilities. This has again created its own perfect storm where they are seeing increased lead times and backlogs for new trucks and trailers as demand in the sector soars.
With all the above impacting supply chains industry wide simultaneously, it will take some time for the demand to be satisfied and the sector to be fully resourced again to allow it to return to some kind of normality. In the meantime our hauliers would like to thank you for your time and patience during this extremely busy time.