Are We Running Out Of Coca-Cola?

In a recent announcement, Coca-Cola has stated that it is currently expecting to see shortages of its products throughout 2022.

As part of an interview that took place with CNBC, James Quincey, the CEO for Coca-Cola, stated that “some issues are ongoing and structural, and some issues appear for a quarter and disappear again.”

As stated by the outlet:

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Like other food and beverage companies, Coke is dealing with snarls in the supply chain and higher commodity costs, which have resulted in some shortages.

Quincey said the company uses its global scale and long-term partnerships to navigate issues within its supply chain. However, it’s not possible to mitigate all challenges. He presented a second analogy, comparing the supply chain headaches to a game of Whac-a-Mole.

On a call with analysts, he listed issues like labor shortages, spiking gas costs in Europe and a plastic plant in Brazil that burst into flames.

“My analogy would be it’s a bit like an earthquake,” stated Quincey. “You get further shock waves coming through, but they tend to be of diminishing magnitude.”

Amidst the recovery of the United States economy from the COVID-19 lockdown induced recession, quite a few companies are getting caught slacking in terms of supply chain shortages that are partially linked to a supposed shortage in the labor market, both of these have led to the high inflation that the nation is currently experiencing.

As we can see when looking at the two busiest seaports in California, which together manage to process over 40% of all of the shipping imports attempting to enter the United States, there are over a dozen ships currently waiting to be allowed to enter and unload their goods which have led to more empty shelves and shortages of various products all across the country. Despite this, various members of the administration of Old Uncle Joe, like Transportation Secretary Pete Buttigieg, are outright dismissing these slowdowns as a sign of President Biden “successfully” managing the economy.

“Well, certainly, a lot of the challenges that we have been experiencing this year will continue into next year,” stated Buttigieg in an interview with Jake Tapper, an anchor for CNN. “But there are both short-term and long-term steps that we can take to do something about it. Look, part of what’s happening isn’t just the supply side. It’s the demand side. Demand is off the charts. Retail sales are through the roof.”

“And if you think about those images of ships, for example, waiting at anchor on the West Coast, you know, every one of those ships is full of record amounts of goods that Americans are buying, because demand is up, because income is up, because the president has successfully guided this economy out of the teeth of a terrifying recession,” stated Buttigieg. “Now the issue is, even though our ports are handling more than they ever have, record amounts of goods coming through, our supply chains can’t keep up. And, of course, our supply chains, that’s a complicated system that is mostly in private hands, and rightly so.”

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