Tariffs Add a New Shock to Food Supply Chains
Briefly

Victoria Gutierrez, chief merchandising officer at Sysco, is concerned regarding impending tariffs on imports from Mexico, Canada, and China. As a major food distributor with $79 billion in annual revenue, Sysco has been forced to explore its suppliers to mitigate risks associated with these tariffs. While the company has diversified to manage supply-chain disruptions from the Covid pandemic, avocados present a unique challenge, as the U.S. primarily relies on imports from Mexico. Following the announcement of a 25 percent tariff, Sysco’s strategy includes stockpiling inventories and finding new suppliers in other regions.
Victoria Gutierrez, Sysco's chief merchandising officer, noted that the company has diversified its suppliers but faces challenges, especially with avocados largely sourced from Mexico.
The imposition of a 25 percent tariff on imports from Canada and Mexico has prompted companies like Sysco to scramble to build inventories and find alternative suppliers.
Read at www.nytimes.com
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