Pernod Ricard Builds Up Stockpiles over Possible Trade Delays Ahead of Brexit

French based Alcoholic Beverages Producer Pernod Ricard has started shipping additional stocks of some alcoholic beverages between continental Europe and Britain as a part of the company’s emergency plans in case a no-deal Brexit takes place.

A spokesman from Pernod Ricard said on Wednesday that the producer of Chivas Regal whisky in Scotland, Campo Viejo wine in Spain, and Perrier-Jouet champagne in France has taken numerous ‘progressive’ efforts and steps in some markets, lately.

As the probability of Britain leaving the European Union without any agreement grows following the lawmakers order for Prime Minister Theresa May to renegotiate a treaty with the rest of the bloc, many companies have started stock piling to avoid any kind of potential border delays for exports and imports. Britain companies fear that the imports of raw materials would run dry or price hike in materials when Britain splits from the EU.

In fact, UK’s specialist wine retailer Majestic has announced that it was stockpiling nearly £5 – £8m worth of booze as a part of its plans ahead of the Brexit, which could bring ‘tough times’ in the UK.

Last week, cosmetic brand L’Oreal said that it was storing cosmetics in Britain, and other companies, including Airbus, Nestle, and Burberry have also shared moves of stocking stuff ahead of the approaching due date of Brexit.

The Pernod spokesman said they have already stock piled beverages in some markets, however, he didn’t mention any details about the markets and brands. Furthermore, he cleared that there is no panic, and the company was just taking precautionary moves to avoid any disturbance in their distribution.

In Britain, Pernod mainly deals in whisky, and hadn’t rented any additional warehouses to stock bottles, he said adding that the company hoped that a split deal will be agreed between London and Brussels, echoing other players in the Scotch production, which is the UK’s biggest food and drink export.

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