BSI (British Standards Institution), Report on Global Supply Chain Risks in 2023 Supply Chain Risk Insight Report 2024" Published 　Theft in food supply chains to increase in 2023, Rising prices and inflation will have an impact

Food continues to be the commodity with the highest theft risk in the global supply chain. It now accounts for one-third of all hijacking incidents, up 29% from 2022. As global inflation continues to take its toll, these data suggest that thieves are increasingly targeting commodities that have undergone significant price increases.

According to an analysis by BSI, a global leader in supply chain intelligence, food and beverage products now account for 22% of all thefts (up 14% from 2021 and 17% from 2022). Theft of agricultural goods (*1) has also risen to 10% and now accounts for 1 in 10 hijacking incidents. The number of thefts of electronics remained flat, highlighting that high-value items continue to be the target of theft.

BSI Publishes Supply Chain Risk Insight Report 2024

BSI's report identifies key global trends and presents six insights to support smoother global trade and accelerate progress toward a just society and a sustainable world. These include the benefits of a data-driven, proactive approach to risk and the importance of having a 360-degree perspective on climate change-related events, as well as forward-looking operations.

Food products are relatively easy to steal in transit, as they tend to be less prone to the use of tracking devices and anti-theft technology than higher value goods; notable examples from 2023 include the theft of over 52 tons of olive oil in Greece and the pre-Christmas theft in Spain of 200 ham in Spain before Christmas. With regard to high value goods, there have been a number of notable incidents in the past year, including the illicit diversion of US$9.7 million worth of pharmaceuticals by Egyptian thieves who used forged documents to purchase medicines under the name of a fictitious pharmacy.

While the types of theft are changing, cargo theft remains high, and this report suggests the importance of leveraging smart technology solutions to mitigate this risk. Thefts from storage facilities have decreased (from 26% to 21%), while thefts of containers and trailers (from 4% to 14%), employee belongings, truck parts, and cash (from 7% to 10%) have increased. Thefts are most prevalent in Europe (37%) followed by North America (23%) (*2), where almost 7 in 10 (68%) of thefts in 2023 were due to trucks, while violent hijackings are more common in North and South America. In Europe, on the other hand, thieves are more likely to target parked trucks, which is attributed to the lack of secure parking and requirements regarding driver breaks, and the nature of the damage varies by region.

This report identifies the following six issues that organizations should prioritize

1. a willingness to collaborate will help organizations discover the opportunities presented by today's supply chain challenges: no organization can accelerate growth alone.

2. recognizing the changing nature of risk can enable organizations to prepare for different contingencies and potentially unlock significant opportunities

3. data and actionable insights can help manage and mitigate vulnerabilities by taking a proactive approach to risk: these insights provide the means to solve today's supply chain challenges.

4. in times of geopolitical uncertainty, it is important to approach the ever-changing global landscape with an agile and adaptive mindset

5. a 360-degree view of climate change-related events can help future operations: the "new era" of extreme climate change requires a new approach.

6. staying ahead of rapidly changing laws and regulations can provide a competitive advantage, including compliance in the supply chain.

Susan Taylor Martin, CEO of BSI, comments.

The past 12 months in the global supply chain have once again been remarkable. In addition to the recent events in the Red Sea, we have seen everything from geopolitical tensions to economic uncertainty, from extreme weather to technology-driven digital disruption. Together, these powerful factors have created a volatile and complex backdrop for organizations seeking to accelerate progress toward a just society and a sustainable world by reducing the environmental impact of their supply chains and improving their social responsibility. Establishing smooth global trade brings important benefits to society as a whole and helps to keep costs down for individuals and organizations. And in 2024, it is collaboration that will open up the opportunities presented by today's supply chain challenges, empowering organizations seeking to respond to everything from increased theft to climate-related disruptions."

■Jim Yarbrough, BSI's Global Director of Supply Chain Solutions, commented.

Food and beverages are the top commodities stolen in transit within the supply chain. These commodities are always in high demand and inflationary factors have led to rapid price increases over the past several years. To better address the challenges facing the modern global supply chain, supply chain leaders can implement proactive and robust supply chain risk management strategies by maximizing the use of supply chain intelligence solutions. Similarly, I believe we have learned from our shared experience of the global pandemic and subsequent geopolitical and economic challenges that no single organization can handle supply chain management alone. Collaboration is absolutely necessary."

The full Supply Chain Risk Insight Report can be downloaded here.

The report is in English.

URL: https://www.bsigroup.com/ja-JP/our-services/consulting/supply-chain-risk/report-2024/

Supplemental Information

Theft trends vary by market. In the U.S., the most stolen products are electronics, construction materials, and automobiles, and the most common type of theft is from containers and trailers. In the U.K., the most common thefts are apparel, fuel, food and beverages, and thefts from facilities, employee theft, and thefts from vehicles.

Other findings include

- Brazil (22%) tops the global food and beverage theft list, with 37% of recorded incidents occurring in South America.

- Hijackings are concentrated in South American countries and South Africa: the top countries for hijackings in 2023 were Brazil (41%) and South Africa (15%).

- Pipeline thefts increased by 2%. Eight percent of hijackings were of construction materials and 8% were of fuel.

- Electronics accounted for 6% of the total, and alcohol accounted for 5%.

- Pharmaceutical hijackings accounted for 3% of all hijackings recorded.

- Notes -.

*1: Agricultural products are defined as substances, beverages, and raw materials that are edible and have not been packaged or processed.

*2: Due to variations in reporting, comparisons are not exact.