Raw materials and scarcity

The corona pandemic has caused a major scarcity of raw materials worldwide. The price increases are enormous and the backlogs are only increasing at the moment. At the height of the pandemic, many factories were closed or running at minimum capacity and scaling up to old levels and distribution is proving to be taking longer than initially hoped.

In addition to the above problems, we recently had to deal with the traffic jam in the Suez Canal. There has also been a major shortage of containers, which have to ship products from Asian countries to Europe, among other things. In short, a very turbulent time with a lot of extra challenges.

PremTech also faces these challenges. Production times have increased enormously due to shortages and we have to try more than once to predict what the future will ask of us. For the time being, with the exception of a number of products, we can keep ourselves fairly free from back orders. We do not foresee any major challenges in the near future. We hope that we, together with our customers, will maneuver through this situation as smoothly as possible.