Update for the Philippines for the 2nd June 2020

The quarantine status in parts of the Philippines has changed to a more relaxed general community quarantine. After 80 days of a stay at home policy for all but essential workers.

However, workers have struggled to commute to their offices, as public transportation was allowed to only partially resume after months of closure, with commuters endured long lines and extended waiting time to be able to get a ride.

What does this mean for Primex and the production timetables?

The relaxation of the quarantine should mean that staff will be able to travel more easily to factories in the coming weeks. So, production capacity should increase, there are still enhanced distancing measures in place at the factories, which will have some effects on the overall production levels.

There is also a good supply of raw nuts. Primex is working to transport nuts to all factories throughout the country to ensure there is an even distribution.

There is still, however, a significant backlog of orders at the factories. With orders have now been taken for Q3 into September.

The teams at Primex are working very hard to bring production level to be pre-quarantine levels and beyond in the coming months while ensuring the highest standards of quality.

In the short term, there will be little difference to quoted delivery times, we expect that these will begin to shorten in the coming weeks & months.

Sea Freight & Shipping

We have seen some unusual routing in the past couple of weeks and months with some voyages that usually take about 28 days taking up to 20 days longer, we have reached out to the shipping lines to get updates on why this is happening, and are awaiting a response.

Market Prices

The backlogs and full order books mean that although the overall prices are likely to remain stable into Q4, any additional supplies will likely be charged at a premium over general market prices, purely on a supply and demand basis. Our recommendation is to get your orders in as early as possible to ensure you can guarantee price and supply.