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Factbox: Europe’s food sector is under pressure as CO2 reserves dwindle.

(Reuters) – Carbon dioxide (CO2) shortages are placing pressure on food industries in various European nations, as big manufacturers curtail output in reaction to increased energy prices.

CO2 is produced as a byproduct by chemical manufacturers and is used in the food industry for a variety of purposes, including adding fizz to drinks and cooling products during transport, as well as stunning poultry and pigs before slaughter.

Following massive producer output cuts, the following nations have reported shortages:

Britain

The food and beverage industry in the United Kingdom https://www.reuters.com/world/uk/uk-urges-businesses-to-meet-demand-for-co2/after-cf-fertilizers-suspends-production-2022-08-25/ The government was encouraged to make contingency preparations to safeguard carbon dioxide supplies after CF Fertilisers UK, the principal domestic provider, chose to temporarily suspend ammonia production at its Billingham plant in northeast England.

Italy

Italian beverage firms https://www.reuters.com/business/retail-consumer/italian-fizzy-drinks-risk-falling-flat-c02-runs-short-2022-07-27/ risked falling flat in July. reported a drop in sales. Chemical industries reduced output, blaming high gas prices, and suppliers were unable to acquire sufficient volumes.

Carlsberg’s (OTC: CABGY) Polish subsidiary POLAND https://www.reuters.com/markets/europe/carlsbergs-unit-poland-may-shut-down-production-due-lack-of-co2-supplies-spokeswoman-2022-08-25/Due to a scarcity of carbon dioxide delivery, beer production might be reduced or halted.

According to Andrzej Gantner, general secretary of the Polish Federation of Food Industry, the distribution halt also jeopardizes the country’s food security.

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