Continued fully operational production – building activities for investments continue – increased safety measures continue – selected logistic routes challenging – raw material and supplies availability decreasing and cost increasing
Jungbunzlauer continues to monitor the development of the pandemic coronavirus (COVID-19) very closely. This letter is dated 12 April 2021 and will be updated regularly. COVID-19 infections are again or still increasing in many parts of the world and we are maintaining and increasing our safety measures at all Jungbunzlauer sites and offices. Currently, these developments have no impact on our general ability to supply products to our valued customers. We have made special efforts to prepare even better for these subsequent waves of infections, closely monitor all official guidelines/ regulations, and appreciate every opportunity to learn about further precautionary measures.
With extra efforts to secure and improve access to raw materials and other supplies like packaging, etc., we are currently experiencing a reduced general availability of selected commodities and supplies. Our general raw material situation is secure. With significantly increased demand for our products, however, we also need more raw materials and this surplus is currently both hard to get and expensive. We are in close contact with our customers and prioritise on the flow of goods while working on securing raw material at competitive conditions.
Until further notice, on-site/ physical audits will be restricted to absolutely essential audits only. We have worked on developing a remote audit format and first experiences were very positive. We see this as a very viable alternative, at least on interims basis.
Our travel activities are still completely on hold and we have asked employees to work from home whenever possible.
In compliance with the different local restrictions, all project activities are continuing in the different countries so that availability of additional supply possibilities for our customers are not going to be delayed significantly.
Supply chain security
We are in close and continuous contact with our transport partners. The precaution measures of our customers at the point of unloading have increased and the logistic chain is prepared accordingly. Each individual precaution measure at the point of unloading which we receive from our customers is forwarded to our transport partners in order to be adhered to immediately.
We are in permanent contact with our forwarders and distribution partners to discuss transport routes in critical regions and discuss alternative routes and possibilities. We have seen that availability of trucks in Europe has gone down for selected routes. We will reach out to our customers and forwarders to ensure reliable delivery of products. We experience significant delays for shipments from Europe to overseas locations; especially deliveries to the United States are currently several weeks delayed. We are exploring all options to improve this situation and it is our plan to increase the quantities in the local warehouses to the extent possible.
The duration of this supply chain bottleneck is hard to predict. We believe, however, that we will have to deal with this situation until far into 2021. In case of any questions, please do not hesitate to contact your sales representative.
The health and well-being of all our employees, colleagues and their families are priority number one. We are very much aware that many customers and hence consumers rely on our ability to supply our products. We do our utmost to stay fully operational, have increased safety measures in place and continue to operate in a fast, efficient, and responsible manner. Many of us were hoping that the pandemic would be much better under control with the beginning of the roll-out of the vaccines in 2021. Unfortunately, we realise now that lockdown and other measures will continue for longer. The best accelerator to overcome this situation that we know today is to maintain behavioural patterns evolving around hygiene, contact, and test routines both professionally as well as personally.
We wish you continuous endurance, strength, and health. Stay safe and sound.
With best regards,
Jungbunzlauer International AG
|Tom Knutzen|| ||Stephan Müller|
|CEO|| ||VP Sales|