Pentland warns of continuing shipping rate rises

DSC_0252 crop
Pentland Wholesale is raising some of its prices in 2022.

Pentland Wholesale has warned that distributors should expect further price rises in 2022.

In a letter to its customers, posted to its Twitter account, the catering equipment wholesaler stated: “Demand for our products has been incredible and due to issues from manufacturers having problems sourcing components to a lack of shipping containers we have struggled at times to maintain the levels of stock we would normally hold. “

“At the beginning of the year, we increased our prices due to increased costs from manufacturers and higher shipping rates. We introduced part of the increase as a surcharge, truly believing it would be short term. Following our price increase in March 2021 shipping rates continued to rise and in September we were forced to increase prices further, again believing the shipping situation would improve soon. We did not increase prices to fully cover our additional costs hoping it would only be for a short time and preferring to support our own brand position in the market.”

Story continues below

However, the Blackburn-based supplier says it is now having to raise some of its prices further from 1 January 2022.

The letter continued: “Whilst we do not know what 2022 will look like, the indications from our shipping partners are that we are unlikely to see any major improvements until at least the second half of the year and there will be no return to pre-Covid pricing.

“To put this into perspective we are currently paying up to 10 times our 2019 rate for a 40ft container, holding only approximately 25 of the larger double door units. It is clear this has a major impact on our costs and unfortunately we are forced to once again review our prices valid from 1st January 2022.”

Nevertheless, Pentland underlined: “We have not applied a blanket increase as this applies only to items manufactured in the Far East – ie Blizzard and Koldbox – and where possible we have held prices on some of these ranges. Each model has been reviewed individually so that our products remain competitively priced and still represent great value for money.

“Most importantly we will maintain good stocks throughout the year (unless there is anything else this pandemic can throw at us!) and will continue to always support our dealers.”

Addressing distributors directly, the letter concluded: “We hope you understand and accept our decision and be assured that as soon as the shipping situation improves, we will review our prices straight away.”

Tags : pentlandpentland wholesaleprices
Clare Nicholls

The author Clare Nicholls

Leave a Response