A first for Asda as it charters ship to ensure stock reaches stores

By

Nigel TAYLOR

Published
Nov 30, 2021

As concerns mount over supplies, UK supermarket giant Asda is following in John Lewis Partnership’s wake by chartering its own cargo ships to ensure shelves remain stocked with key festive products.

It said its first ever private charter of 350 containers from Asia would prevent a shortage of goods, including clothing, toys, and gifts during the hugely competitive Christmas trading period.

Asda cited supply chain problems that have hit a host of retailers and made it harder to source goods from abroad.

Those shortages also forced other retailers to take a proactive stance on ensuring supply chains were maintained. John Lewis Partnership teamed up with other retailers to charter container ships to deliver products.

Mohsin Issa and Zuber Issa, the billionaire brothers who bought a majority stake in Asda earlier this year in partnership with the private equity firm TDR Capital, said: “We know how much Christmas means to our customers, especially after some missed out on celebrations with friends and family last year.

“Our colleagues have pulled out all the stops during the last few months to make sure customers can get their favourite festive products at Asda and enjoy the Christmas they deserve.”

The supermarket, whose trading update on Monday revealed sales fell 0.7% in the three months to 31 October, had already said that summer quarter sales were down compared to the same period a year before, when spending on homes and gardens was very strong as families adapted to lockdown life.