How much smaller can they go? Just how much are they going to ration it?
Posted on 05/01/2020 5:40:13 AM PDT by blam
Just days after the CEO of Tyson Foods warned that the “food supply chain is breaking”, the disruptions due to the coronavirus are starting to surface not only in households and grocery stores, but also across corporate America, and even McDonald’s has now said it is changing how it is doling out beef and pork to its restaurants as a result.
The company has placed items like burgers, bacon and sausage on “controlled allocation,” according to Business Insider. Additionally, the company’s distribution centers have been placed on “managed supply”.
This means that the company is now going to be rationing meat supplies based on demand, instead of just ordering what the company thought was necessary. And while it doesn’t yet mean the company is facing shortages, it does suggest that even the largest US fast food restaurant believes further scrutiny of its inventory is warranted as the next may very well be shortages.
Two key McDonald’s suppliers are Smithfield and Tyson – names we have covered extensively (here and here) over the last month as they grapple with the coronavirus causing significant production bottlenecks. More than 5,000 factory workers have contracted the coronavirus, with at least 20 of those dying.
McDonald’s executives said mid-week that major production reductions were expected through “at least” the first half of May. McDonald’s CEO said on Thursday that the company, so far, had not had a supply chain break.
He also admitted, however, the state of the meat industry was “concerning” and that the company was “monitoring it, literally, hour by hour.”
Tyson chairman John Tyson said last weekend: “As pork, beef and chicken plants are being forced to close, even for short periods of time, millions of pounds of meat will disappear from the supply chain. As a result, there will be limited supply of our products available in grocery stores until we are able to reopen our facilities that are currently closed.”
(snip)
Yup, commercial food chain is not overstressed. Just the opposite.
What makes even less sense is that in this article, there was no mention of the fact that the President has issued an EO under the Defense Production Act for meat processing companies to remain open.
If these meat processing plants are so crippled by their workers being infected by the Virus from China, then additional intervention may be needed, if only on a temporary basis, in order to prevent any further panic situations and to ensure the supply chain for food is not broken.
Peach
A pig?
Went to my Costco Tuesday during “senior citizen hour”(8am) and found plenty of meat, chicken, and fish. My guess is I got first pick of whatever they had restocked overnight.
“Corps all want liability waivers from POTUS. They are going to cause trouble until they get them.”
That would be a start.
“why is supply getting out of whack?”
Slaughter houses and meat packing plants are closing due to employees getting the kungflu. Also, many product lines are set up for bulk packages for restaurants, not consumer packages.
“States are beginning to open up … and the supply chain for food is breaking...Makes no sense to me.”
The states won’t be open for long, as the numbers will start to explode again (at least until masks are required of everyone in public). Germany just learned that fact, when they tried to open up.
How much smaller can they go? Just how much are they going to ration it?
States are going to open up and whatever happens will happen.
Americans’ patience with this is pretty much at an end.
Or did the armed men at the Michigan State Capitol escape your notice?
When talking about McDonald’s meat has a broad definition.
HEB grocery in TX has begun rationing meat and limiting quantities. Started yesterday.
“”Demand has not changed, why is supply getting out of whack?””
That’s why none of it makes any sense. Tyson said last week producers of beef, chicken and pork can’t sell their products to processors and the animals will have to be destroyed...When did people stop eating?
The majority of the slaughter houses and meat packing plants are in part owned by china and employ legal and illegal aliens. If you close that link in the chain because of woo flu, the farmers have no where to send their livestock and can not afford to keep them. They are killing them at the farm level for insurance reasons so they do not take a loss.
The stores run out of meat. And the farmers have no animals to send to slaughter after the woo flu clears.
There is no meat in the supply chain.
This is by design. It is working as planned.
People are storing way more meat than they have in the past. Someone on here reported that lower priced freezers are sold out and can’t be had. Something like this happened during the meat shortage of the early 70s. It turned out that people had begun hoarding meat to the degree that it spoiled and was eventually thrown out.
The plan isn’t working.
Really have to gin up the panic now.
—
Bingo!
Someone had to give up his 15 minutes of fame so that
Pauly Shore could have 30.
I was very surprised they got in with their weapons.
And yet Omaha Steaks won’t stop bombarding my inbox.
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