Meat Special Edition IFFA 2022

Page 40

IFFA 2022

MEAT PLACE | SPECIAL EDITION

A long-standing affair

International supply chains Inflation and product costs Article by: Mary Efthymiatou Journalist in the field of Logistics

M

ass consumption dietary products, such as meat and meat products for the Western society at least, have been for some months now one of the “victims” of the international crisis, which has been caused largely by the war in Ukraine and, in addition, by the many “upheavals” in the international supply chains. To understand why meat -as an industry in its entirety and not individually as a productis directly affected by the constant disruptions in supply chains, one must take into account specific “key points”, such as: • Globalized production • Linked supply chains • Inflation and raw material prices

Besides the concepts that will be analyzed below, we must emphasize that the conditions affecting the global market at the moment are peculiar, as the main “unmanageable” factor is the war and its impact on the economy. If we had to describe how international supply chains have been affected e.g., from the Covid-19 pandemic crisis, things would be a bit different, as we would be talking about a lot of differences in comparison to the past, although, what in the logistics language is defined as “planning” and “scheduling” would be easier to predict, while now it is not. Globalized production Why does the fact that national markets do not produce what they could produce, but what is

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