Pressure on RTP

As adoption of e-commerce continues to accelerate in 2021 due to the pandemic, a general undersupply of warehousing property and lack of domestic manufacturing capacity in the returnable transit packaging (RTP) industry will see the warehousing and logistics sector set for unprecedented challenges in the next few months.

One of the impacts of the pandemic is online retailers, supermarket chains and third party logistics operators, alongside the NHS, all seeking to rapidly increase their distribution capabilities to respond to the UK’s challenges.

From our position in the supply chain, we can see that the returnable packaging systems used to support the sector are critically under capacity from a UK manufacturing perspective. Even with significant investment in 2021, this is unlikely to come on stream before 2022, creating further pressure for systems integrators and supply chain operators to meet demand. All of this is essentially creating a perfect storm for the industry!

In 2020, Schoeller Allibert UK announced a multi-million-pound investment in its Winsford, UK business to expand capacity and create new flexible automation to help meet the challenges of the industry. In addition, the company has announced several new product launches designed for system integrators supporting its expansion in the eCommerce sector.

Clearly Brexit is challenging enough, but the warehousing and logistics sector is being hit from all sides. At Schoeller Allibert, we are working with a range of clients and systems integrators in the UK to deliver the latest RTP technology which provides the cost down, efficiency and sustainability gains they require. We are also expanding capacity to meet the needs of the UK market with domestically produced solutions avoiding the Brexit problems faced by many.

For more information, visit www.schoellerallibert.com/uk