Mondelēz stockpiling ingredients in case of a no-deal Brexit
Says president, “We have a contingency plan in place.”
The president of Mondelēz International, which owns brands including Oreo, Ritz biscuits and Cadbury, has told the Times newspaper that it is stockpiling ingredients and finished confectionery and biscuits in case of a no-deal Brexit. Hubert Weber said: “Like the whole of the food and drink industry in the UK, we would prefer a good deal that allows the free flow of products as that would have less of an impact to the UK consumer. “However, we are also preparing for a hard Brexit and, from a buffering perspective for Mondelēz, we are stocking higher levels of ingredients and finished products, although you can only do so much because of the shelf life of our products. We have a contingency plan in place to manage [a hard Brexit], as the UK is not self-sufficient in terms of food ingredients, so that could be a challenge.”
According to the Times, Hubert Weber also said he wished Britain was, “at a different stage [in negotiations with the European Union] at this stage” and hoped that a deal could be agreed by next year – otherwise, he said, British shoppers could face higher prices and fewer choices.
Last week at a meeting with analysts and investors in Boston, Mondelēz International Chief Executive Officer, Dirk Van de Put, and other senior executives outlined the company’s new long-term strategy to generate sustainable shareholder value. The company also established new long-term targets, reaffirmed its 2018 outlook, and provided an outlook for 2019.
“With strong leadership in our categories, an unparalleled portfolio of global and local brands and a solid footprint in fast-growing markets, we are uniquely positioned to lead the future of snacking. We have developed a clear strategic plan to accelerate our growth and drive attractive total returns centred around three strategic priorities: accelerate consumer-centric growth, drive operational excellence and build a winning growth culture.”
The company also revealed its new tagline and purpose, “Snacking Made Right,” building, it says, on its promise to offer consumers, “the right snack, for the right moment, made the right way.”