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Brexit statement - stock levels, forecasting and service commitment

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The uncertainty of Brexit is causing more of a negative impact to the food industry than any other in the UK. As each day passes our customers are needing a stronger commitment from ourselves to make sure critical products such as PPE, hygiene, safety and workwear aren’t affected by a no-deal scenario. We understand this as our products are critical for food safety and hygiene, especially the protection of employees. We have been working hard with our suppliers to understand the challenges and impact that Brexit will cause not just for our customers, but ourselves as a high demand supplier.

The majority of the products which we sell here at Needlers are sourced from UK suppliers along with a significant portion of our own label stock manufactured by approved suppliers in Asia. Consequently, our European exposure is far more limited when compared to many in the industry.

We are confident our Brexit plans, for all eventualities, protect ourselves as a business but most importantly our customers and their production pipelines.

Our aim is always to minimise any risk to our business and that of our customers and as such we have specifically taken the measures noted below to ensure continuity of supply.

We hold a number of months’ worth of stock in our 53,000 square foot BRC AA accredited warehouse in Hull and have secured additional third-party warehousing which is being used to further build our stock levels.

Our supply base is broadly split as follows:

  • 60% UK – Worked with key UK suppliers to ensure they have a Brexit strategy and bringing in stock to cover at their facilities. The majority of our key suppliers are holding a further 3 months buffer stock in their UK facilities. We have supplied usages and forecast to help build this profile
  • 35% imports – This is covered by our additional stock brought in to cover Chinese New Year stock (3-4 months)
  • 5% European – small % of European where there may be some risk - we are placing orders for an additional 2-3 months of stock to hold within our facilities to be brought in for the 31st March to mitigate this risk.

With our expertise and experience in the food industry we will work in full collaboration with our strategic suppliers to make alternative products available and call on their support to ensure minimal disruption to our customers.

If you have any questions please reach out to your dedicated Account Manager or Customer Service representative on 01482 467500.

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