Factories come to a halt, stock market indices plummet, public transportation services are reduced, and people stay at home… From February to March, in just one month, the world undergoes a drastic change due to Covid-19.
Covid-19-care-washing-hands
However, amid the general confusion and with millions of people confined to their homes, there are still sectors working at full speed to prevent social collapse. We are, of course, talking about exemplary groups such as healthcare workers, law enforcement, and supermarket staff who make it possible to maintain supply.
Covid-19 and the retail sector It is this last sector, retail, that barely two months ago came into public debate. With fresh produce leaving the fields at bargain prices, producers saw how their fruits and vegetables were sold at much higher prices in supermarket chains. Beyond the oversupply of products and the influx of foreign competitors into the market, intermediaries in the supply chain were accused of taking a large portion of the profits that farmers didn’t receive, without adding real value.
While it is true that farmers’ losses are a serious problem that must be addressed sooner rather than later, it is equally true that the famous Covid-19 virus has highlighted the value generated by all the intermediaries in the supply chain. In the midst of a global economic and health crisis, the feared shortage is not a possibility. In the middle of the disaster, everyone can still fill their shopping baskets. This basic act is thanks to figures such as wholesalers, retailers, distributors, transporters, stockers, cashiers, etc.
The importance of primary sectors We will learn many things from the Wuhan coronavirus and will have to change many others. In terms of food and the supply chain, we will learn the importance of efficiency and quality. We will learn to value how crucial it is to avoid food waste, how urgent it is to improve food traceability to guarantee phytosanitary control, and what it means to have effective and quality distribution when it comes to doing something as essential as grocery shopping.
Sooner or later, people will become aware of these issues, and society will demand changes. In the meantime, at CLCircular, we will continue to work towards these goals.
Covid-19-bananas-supermarket
The Covid-19 pandemic has also accelerated the need for digitization in the supply chain, allowing many companies to adapt quickly to challenges. The adoption of technological solutions such as real-time monitoring, automation, and the use of collaborative platforms has not only optimized product flow but also allowed for problem prediction before they escalate, ensuring a continuous supply even in times of crisis. This highlights the crucial role of technology in modern logistics.
On the other hand, Covid-19 has driven the revaluation of local products and the importance of supporting small producers. During the toughest moments of the pandemic, these players played a key role in maintaining supply, often without the same resources as large distributors. Promoting more equitable value chains through technologies that ensure fair and transparent distribution of profits is a necessary step toward a more inclusive economy.
Moreover, the health crisis has highlighted the need to redesign logistical infrastructures to be more flexible and resilient. This includes creating storage and transportation systems capable of quickly responding to variations in demand and extreme conditions, which can be achieved through strategic alliances and increased collaboration between companies and governments. These partnerships will be essential to effectively face future crises.
Finally, Covid-19 has underscored the need to adopt a sustainability-focused and circular economy approach in the supply chain. The pandemic has shown the environmental impact that traditional logistics systems can have and the urgency of implementing practices that promote resource reuse, waste reduction, and energy efficiency. Companies like CLCircular are leading this change, demonstrating that it is possible to combine technological innovation with sustainability, benefiting both businesses and the environment.