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    Logistics Manager Magazine October 2023

    2nd October 2023By Michelle Mooney
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Article

Primark warns of supply chain pressures due to Coronavirus

Michelle MooneyBy Michelle Mooney24th February 20201 Min Read
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Primark parent Associated British Foods (ABF) may face factory production delays as the Covid-19 virus continues to spread.

In a trading update released today ABF said: “Primark sources a broad assortment of its product from China. We typically build inventories in advance of Chinese New Year and, as a consequence, are well stocked with cover for several months and do not expect any short-term impact.

“We are working closely with our suppliers in China to assess the impact on their factories and supply chains and their ability to fulfil our current orders. If delays to factory production are prolonged, the risk of supply shortages on some lines later this financial year increases. We are assessing mitigating strategies, including a step up in production from existing suppliers in other regions.”

ABF also said that first-half sales at Primark were expected to be 3% ahead of last year, driven by a strong contribution from new selling space.

Primark Stores with PAC-D won the Environmental Improvement Award at the 2019 Supply Chain Excellence Awards. The 24th Supply Chain Excellence Awards will take place on 12 November 2020. For more information, including how to enter and sponsorship opportunities, and to register your interest go to: Supplychainexcellenceawards.com

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Michelle Mooney
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Michelle Mooney is a Philosophy graduate from Birkbeck University of London and Editor of Logistics Manager. Michelle has a particular interest in sustainability and ethics in the supply chain, and also enjoys writing about International logistics and air cargo. A keen animal rights activist and vegan, when Michelle isn’t writing about the supply chain, she’s busy lifting weights at her second home, (the gym).

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