News & Media
A glimmer of hope despite massive disruptions to North American supply chains caused by climate change
September 28, 2023The last few months have been exceptionally hard on North American supply chains, with a nearly uninterrupted series of extreme weather events: droughts, floods, hurricanes, cyclones, major forest fires, and more. No area of the globe has been spared from these events. The impact has been especially severe in the agricultural sector, with alternating droughts and floods affecting not only farmland, but also major portions of the processing and distribution infrastructure in affected regions like India, China, and southeast Asia. In addition, both the US National Oceanic and Atmospheric Administration (NOAA) and the China Meteorological Administration (CMA) recently announced the early arrival of the El Niño system, which is likely to further aggravate the situation. As a result, companies in the pharmaceutical, cosmetics and agrifood industries can expect to be faced with a potential shortage of plant-based raw materials, delivery delays, and corresponding increases in costs.
Recuring extreme weather events demand innovative solutions
A prevention plan is essential
In a September 15 article in Supply Chain Management Review, Mark Russo, chief science officer at Everstream Analytics, argues that companies can respond to extreme weather events by having a disaster prevention plan in place. This plan, he explains, must include an assessment of facility locations, shipping lanes, and whether a company’s suppliers are vulnerable. Jena Santoro, senior manager of Intelligence Solutions at the same company, adds that “establishing temporary warehousing, identifying alternate sourcing methods of critical inputs, components, or ingredients, or even ramping up production at facilities outside of the at-risk area […] are some tools companies can use to increase resilience.”
Aplantex offers a glimmer of hope
To support the many North American businesses whose international supply chains are increasingly at risk, Aplantex’s industrial biotechnology platform aims to produce an abundance of plant-derived bioactive molecules right here in Quebec, all year round and in a controlled environment. Those businesses can also rely on a regular supply of the high-value-added molecules they require for their operations, delivered on time and at stable prices. Finally, by recycling many of its inputs, using renewable energy resources, and producing close to zero waste, Aplantex stands out as an ideal supplier for any company seeking to meet environmental, social and governance (ESG) criteria.