To Our Valued Customer
In late 2021 and at the very beginning of 2022, food manufactures suffered high price increases of raw materials. These increases were due to below average harvest yields, low inventory due to COVID-19, combined with a very dynamic economic recovery. Thus, the general context was already strained when Russia invaded Ukraine and triggered a war in Europe, throwing the world’s supply chain in sudden disarray, profoundly affecting entire sectors of our economy. This has resulted in an unprecedented increase not only in the cost of the main agricultural raw materials produced by Ukraine and Russia (wheat, sunflowers) and fuel (gas, petrol) but also, as a knock-on effect, of palm oil, eggs, butter, and freight. The situation is compounded by an almost total shortage of other raw materials such as sunflower oil or lecithin, of which Ukraine is the first and almost only global producer. Both inbound and outbound freight services have been affected and these exceptional and particularly complex circumstances meant our suppliers and manufacturers are having to pivot, find alternate materials for product, and modify recipes accordingly to maintain quality and keep up to the demand.
How will this affect us here in Canada? In the upcoming months we will experience temporary inventory delays on some products. Because of these sudden and drastic changes, we are seeing price increases of 20%-50% on some products, and for us to remain viable in this climate, we too must reflect those increases on our end as well to ensure we continue to bring you the supply and selection you’ve come to expect from us. Despite these enormous challenges, we are confident that we have positioned ourselves well to weather the worst of the storm.
For your convenience, please visit our website and ecommerce platform at www.globalreachconfections.com. Our ecommerce site will always reflect your current pricing and availability of all items on the day you place your order. If you are not currently set up on our ecommerce site, please contact your Sales Account Manager and we will be happy to set you up and guide you through a simple sign in process with your own personal password and login.
We value your continued support during these turbulent times and thank you for your understanding and continued support! Kind Regards, and best wishes as we forge on together!
On Behalf of the entire Global Reach Confections Team