Cadbury is stockpiling ingredients to maintain a supply of chocolate in the case of a ‘no deal’ Brexit.
Whilst this may be a welcome news to those with a sweet tooth, economically it highlights once again the low level of confidence British businesses have in the Government’s ability to deliver a good Brexit.
Cadbury owner, Mondelēz Internations has said that the ingredients being stockpiled with ensure a consistent supply of chocolates and biscuits in the eventuality that trade between the UK and EU becomes harder.
Hubert Weber, the president of Mondelēz Europe said that the UK was simply “not self-sufficient” in terms of the production of food ingredients. In an interview with the Times, Weber confirmed the measures as part of contingency plans for a Hard Brexit.
It is the latest example of stockpiling before the UK leaves the EU, in under 200 days. Earlier this month, Health Secretary Matt Hancock confirmed that the government was in talks with drug companies about funding the extra costs of stockpiling and flying in vital medicines. Combined, these warnings raise the speculation of a ‘no deal’ Brexit, signalling a failure of the government to agree withdrawal terms by Brexit deadline of 29 March.
Whilst the stockpiling of ingredients may seem to be a well-planned contingency, Weber argued that Cadbury, and the industry on the whole, “would prefer a good deal that allows the free flow of products” and that this would lessen the impact on the UK consumer.
He continued and said that shoppers may face higher prices and less choice if a deal were not agreed.