Don't wait until it's too late to stock up on supplies, especially since it seems like things may get even worse as prices continue to increase, hinting at things getting worse by the end of 2021. (h/t to SHTFPlan.com)
Prices across different products continue to increase
As you've seen in grocery stores, the prices of some items have increased while others are sometimes unavailable for purchase. The problem seems like it might continue and get even worse as the year nears its end. Don't brush this off. Instead, take this as a sign that you should start preparing for the worst before SHTF.
As you've seen from mainstream media, coronavirus is allegedly to blame for the food supply shortage. But isn't the government the one telling people to stay at home, despite the fact that not everyone has the luxury to work from home and provide for their families?
Stay-at-home orders and sheeple have both contributed to this problem with the supply chain and the economy.
Dan Kowalski, vice president of CoBank’s Knowledge Exchange Division, warned that things don't look good. In fact, things have been similar to the first few months of the pandemic while it is in reverse in other cases. CoBank provides loans and other financial services to rural communities in America.
In the early days of the pandemic, shoppers who went to grocery stores to stock up on essentials were disappointed since most product shelves were empty. To address the demand, businesses shifted distribution away from restaurants, cafeterias, and other dining venues that people were forbidden from visiting during lockdowns.
Chedly Louis, vice president and senior credit officer at Moody’s, explained that there’s a part of the economy that’s been relatively quiet in 2020 that’s reopening. This part of the economy that was quiet is revving up faster than the manufacturer thought at the beginning of 2020, which is linked to the rebalancing happening in the supply chain. Louis added that the supply chain has also been dealt a blow by weather and other factors over the last few months.
Surprisingly, he noted that price increases were implemented by manufacturers are doing "in a thoughtful way." Some companies aren’t increasing prices to increase margins but to offset costs. As consumers are stuck with more expensive prices, Louis said that it will be interesting to see what will happen to the price increase once companies raw materials start to moderate.
It's not just food products that have been affected by the price increase. Pet items are also selling out.
Sumit Singh, the chief executive of pet-care retailer Chewy Inc., said on an earnings call that many out-of-stock items were "a headwind during the most recent quarter." Singh explained that the situation was affected by supply, which will only subside by the second half of 2021 once "additional production capacity comes online." But until that happens, the company will actively manage their inventory and use recommendation engines to help customers find better alternatives, concluded Singh. (Related: Surge in shipping costs, bottlenecks at ports threaten global economic recovery.)
Prep now before it's too late
Other retailers report that there is a labor shortage and that demand is increasing. Back in June, the National Retail Federation (NRF) reported that April was the busiest on record at the nation’s retail container ports, with May "possibly setting a record."
Jonathan Gold, vice president for supply chain and customs policy at the NRF, said that while there was constant demand from consumers, there was also an ongoing shortage of "labor, equipment and shipping capacity to meet that demand." Until the end of 2021, businesses and consumers alike will have to deal with supply chain disruptions, port congestion, and increasing shipping costs.
What does this mean for preppers?
Prices can increase even more if things don't settle down. If your supplies are running low, restock now.
Buy what you need now to avoid the rush when things get even worse later this year.
If you have space in your backyard or homestead, start cultivating a survival garden. If you live in a small apartment without space for a garden, start a container garden.
If you don't have space for a garden or are unable to start gardening, get several manual can openers and stock up on these essential supplies:
- Baking essentials (e.g., Baking powder, baking soda, flour, yeast, etc.)
- Bulk dried beans
- Canned beans
- Canned fruits
- Canned meats (e.g., Chicken, tuna, or sardines)
- Canned soups
- Canned vegetables
- Cooking oil (e.g., Avocado, coconut, or olive oil)
- Dried vegetables (Use as snacks and additions to soups.)
- Frozen vegetables
- Nut butters (e.g., Almond butter or peanut butter)
- Rice
- Seasonings (e.g., Paprika, pepper, salt, etc.)
- Seeds and nuts (e.g., Chia seeds, hemp seeds, sunflower seeds, etc.)
Don’t let fear get the best of you. Stay calm, plan ahead and stock up on essentials so that when SHTF, you can rest easy knowing that you have food and supplies for yourself and your loved ones.
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