Dairy Processing - January/February 2022 - 35
manufacturers in producing
enough product.
" Sales of shelf-stable retorted
beverages have been strong and
have grown to the point that there
is not enough capacity, across
all contract manufacturers, to
meet current demands, " Tilley
said. " Despite sales growth, much
like other industries, contract
manufacturers of shelf-stable
retorted beverages have been
challenged to find, hire and retain
employees to run their plants
at capacity. "
Additionally, Fabian said
supply-chain issues have
impacted sourcing for every
aspect of their business from
canisters to lids, scoops, raw
material ingredients, labels,
corrugated boxes and pallets.
" This truly has been the
toughest year with respect to
mitigating risks and trying to
keep lines running given all the
uncertainty with port congestion
and delays, and extremely limited
ocean, rail and domestic freight
options, " Fabian said. " Our team
has worked extremely hard each
and every day to secure necessary
materials, but oftentimes they are
trying to mitigate variables well
out of our control. "
Fabian said facilities making
canisters and lids have experienced
high turnover, which has led to
increases in lead times. She said
lead times that used to be eight to 12
weeks have now extended to nine
months, and they are now issuing
purchasing orders a year out.
She added the availability
of various dairy proteins and
powders has been constrained,
and said Agropur's manufacturing
plants continue to have
challenges producing cheeses.
While the company has been able
" Being proactive is key as we anticipate
the next hurdle and find creative
solutions to counter it before it happens. "
Bart Child, chief commercial officer, Nellson
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Dairy Processing - January/February 2022
Table of Contents for the Digital Edition of Dairy Processing - January/February 2022
Dairy Processing - January/February 2022 - Intro
Dairy Processing - January/February 2022 - 1
Dairy Processing - January/February 2022 - 2
Dairy Processing - January/February 2022 - 3
Dairy Processing - January/February 2022 - 4
Dairy Processing - January/February 2022 - 5
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