The COVID-19 pandemic has affected the supply of many raw materials, from copper foil to aluminum, and we often talk about the state of the semiconductor industry already. There are problems in the inventory of components used in technological devices, which negatively affects prices as well as availability problems. As if that weren’t enough, we now have a new problem facing us: the scarcity of cardboard and packaging materials.
NBC News reported that packaging materials made from paper, plastic and cardboard, such as computer chips, are scarce and prices are skyrocketing. It’s all about supply and demand, says Andrew Hogenson, global managing partner of Infosys Consulting’s consumer products, retail and logistics division. While the supply of raw materials remains low, the increase in demand continues.
People also began to change their shopping behavior. Customers who want to avoid interacting with other people in bulk tend to order more products online. This increases the demand for packedollarseme and shipping materials.
The winter storm that hit Texas in February had greatly affected the production of plastics used as shipping materials. Ultimately, shippers turned to alternatives such as cardboard and paper, and the supply chain got into trouble. Finally, let’s add that there has been a shipping bottleneck that has slowed down imports of products such as pulp from China.