Landscaping and Supply Chain Shortages: What No One is Telling You

The pandemic has created a world of issues for individuals and businesses alike. Supply chain shortages have resulted in crippling delays within the landscaping industry, and many companies haven’t been able to keep up. Learn about the supply chain shortages that nobody’s telling you about and how you ensure your home or business projects are left unaffected.  

How Supply Chain Shortages Affect Customers

Supply chain shortages affect customers in many ways. For one, they can cause price increases. When service providers have to pay more for the supplies they use, they have no choice but to pass those costs on. Shortages can also result in many products and services being unavailable, which can then cause delayed or dropped projects. In the landscaping industry, the three main types of shortages include:

● Raw materials shortages

● Labor shortages

● Freight shortages

Raw Materials Shortages

Prices for raw materials like plastic resin, printed circuit boards, and even wire remain at a record high. These are causing costs to soar, especially in the construction and landscaping industries. Resin is up by 210%, and copper costs have increased by 45%. Many of these shortages are due to pandemic-related factory shutdowns and bad weather. 

Labor Shortages

Labor shortages across all industries continue to be a problem. More than 30% of manufacturers who produce raw materials have difficulty bringing in and retaining new talent. Up to 80% of manufacturers anticipate this being a long-term issue. Service industry jobs have significantly increased wages, drawing hourly associates away from manufacturing and into service jobs like restaurants. This directly affects the availability of raw materials and manufactured goods like parts, machinery, and tools.

Freight Shortages

Freight shortages have been a nightmare for the industry, with high congestion levels at almost every major U.S. port. Diesel fuel and gas prices are up, with no real signs of relief. The labor shortages are also carrying over to this area, as fewer drivers are on the road delivering freight. Container shipping costs have increased tenfold in the past year, with freight shipments up by over 10%.

Work With Someone Who Will Keep You Informed

The landscaping industry will likely be facing these challenges for quite some time. We expect seed supply and resin shortages to last through 2022. Due to semiconductor shortages, lighting electronics and irrigation equipment will also be more scarce.

Protecting your projects requires working with a landscaping company that will be by your side every step of the way. This includes keeping you informed and working with you on alternatives when necessary. As the economy continues to struggle in the wake of the pandemic, working with a company like Centerpoint Landscaping will make a world of difference. 

For more information, contact Centerpoint Landscaping or give us a call today!