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Supply Chain Risk

Experts clarify risks of shortages in supermarkets due to coronavirus

The fear of occurring shortages in supermarkets in Brazil during the quarantine, took thousands of people shopping in the past few days. The rampant purchase of food, toilet paper and gel alcohol made pictures of empty shelves start circulating on the internet.

In fact, the high demand caused the products to run out, but it does not mean that Brazil is experiencing a shortage crisis in supermarkets. Experts, entities and the Ministry of Agriculture say that the unnecessary purchase of products in order to make a stock, may require a faster replacement of these products, but that does not mean that they are missing.

The companies that produce and supply food, beverages and hygiene products continue to work on the production and distribution of products, so there is nothing to worry about.

ABIA president reassures consumers

According to João Dornelllas, president of the Brazilian Food Industry Association, Brazil is prepared to supply all the demand with food independent of the coronavirus quarantine, being ahead of other countries that are going through the same restrictions.

The risk of shortages in supermarkets the consumer is left without a certain product until replacement or having to travel to other points of sale in search of them. That is why, in this pandemic moment, it is important that people buy consciously, so that no one has to wait to buy or search around. Experts point out that no need to stock products at home, as supermarkets and food producing companies continue their activities.

Even in cities and states that restricted face-to-face service in businesses, made an exception precisely for supermarkets, restaurants, pharmacies and food and medicine stores for animals (pet shops and poultry).

Some supermarkets, at the discretion of their management, may work with reduced hours, as has happened with some units located in shopping malls, which in turn, have closed conventional stores and a food court serving only order deliveries made by applications, such as Uber Eats, Rappi and iFood.

In Rio de Janeiro, Marcelo Crivella asked that, if possible, supermarkets operate 24 hours a day in order to avoid crowds during the day and better serve the elderly.

Real risk of product shortages

For now, the only product that is lacking in many pharmacies and supermarkets is alcohol gel, which should be gradually replenished in the coming days. According to the Union of the Sugarcane Industry (Unica), in the absence of gel alcohol the population can wash their hands at the same frequency with water and soap and if they wish, they can use seventy liquid alcohol.

João Dornellas also pointed out that the only risk of shortages in supermarkets is if the logistical circulation of products or raw materials used in production begins to be restricted by the Government.

As long as food products trades, manufacturers, suppliers and logistics companies are operating, there is nothing to worry about, as the country has enough demand to serve the entire population.

Alarming possibilities of shortages in supermarkets

Claudio Felisoni, president of the Brazilian Institute of Retail and Consumer Market Executives, points out that the risk of shortages exists, since the activities related to fruit and vegetables cannot be carried out by home offices, as is happening with the administrative functions of the other companies.

Francisco Turra, a former minister of Agriculture, stressed that the government needs to give priority to national food production, which speeds up reaching the population.

So far, supply centers, such as Ceasa, continue to function normally. Some supermarkets in São Paulo have restricted the amount of purchase of some products so that there is no shortage for some customers, since there are people who are buying in excess, generating a shortage in supermarkets, even if temporarily.

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