Cadbury owner stockpiles ingredients in case of a hard Brexit

Lloyd Doyle
September 12, 2018

Cadbury owner Mondelez will stockpile key ingredients in its products to protect itself in the event of a no-deal Brexit.

The company has a contingency plan in place as United Kingdom is not self-sufficient in terms of food ingredients, the paper reported.

Britain is due to leave the European Union on March 29.

The UK alone can't provide the ingredients for the confectionery company's products, Hubert Weber, president of Mondelez's European arm, said in an interview with the Times of London published Tuesday.

"We are stocking higher levels of ingredients and finished products", Hubert Weber was quoted as saying, with the paper adding that the Mondelez contingency plans are in place because the United Kingdom is not self-sufficient in terms of food ingredients.


"We have a contingency plan in place to manage (a hard Brexit), as the United Kingdom is not self-sufficient in terms of food ingredients, so that could be a challenge".

He said shoppers may face higher prices and less choice if a deal were not agreed and added that he wished Britain was "at a different stage [in negotiations with the EU] at this stage".

Europe is Mondelēz's biggest global division, accounting for 40% of revenue a year ago.

A spokeswoman for Mondelez confirmed Weber's comments, saying that the company is monitoring the political situation and "preparing for a number of potential outcomes".

"With uncertainty prevailing around the UK's post-Brexit trading position, stockpiling could help some businesses to mitigate possible supply shortages", said Mark Waterman at Vendigital, a consultancy that helps companies to prepare for Brexit.

Other reports by Iphone Fresh

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