Food supply chain thefts rise in 2023

BSI’s Supply Chain Risk Insights Report 2023 identifies global trends and six key insights to help manage supply chains and support smoother trade in the face of continuing global disruption.

Food continues to be the commodity most at risk of theft in the global supply chain and now accounts for a third of all hijacking incidents — up 29% on 2022. Amidst the ongoing impact of inflation globally, these data suggest thieves are increasingly targeting basic goods that have experienced significant price increases.

The analysis, from global provider of supply chain intelligence BSI, finds that food and beverage items now represent 22% of all thefts (up from 17% in 2022 and 14% in 2021). Theft of agricultural food products has also risen to 10% and now accounts for one in ten hijacking incidents. The number of electronic thefts has remained steady, highlighting the continued targeting of high-value goods for theft.

Theft of food in transit is often relatively easy in comparison to higher-value commodities, as these commodities tend not to be shipped with tracking devices and anti-theft technologies — notable incidents from 2023 include one involving the theft of more than 52 tons of olive oil in Greece and the theft of 200 hams in Spain before Christmas. With regard to higher-value commodities, the last year has seen a number of notable incidents, including a group in Egypt using false paperwork to purchase pharmaceutical shipments for fake pharmacies, fraudulently diverting US$9.7 million worth of drugs.

Types of thefts have changed, with cargo theft remaining notably high, indicating the importance of leveraging smart technology solutions to mitigate this risk. There has been a drop in thefts from facilities (26% to 21%) but a rise in theft of containers or trailers (4% to 14%) and of employee belongings, truck parts or cash (7% to 10%). Thefts are highest in Europe (37%) and North America (23%). Nearly seven in ten (68%) thefts in 2023 affected trucks, although this varies by region, with violent hijackings more common in North and South America, and thieves more commonly targeting parked trucks in Europe, linked to a lack of secured parking as well as rest requirements for drivers.

BSI’s report identifies key global trends and outlines six organisational insights to support smoother global trade, including:

1. Willingness to collaborate can help organisations uncover the opportunity presented by today’s supply chain challenges — no one organisation can accelerate progress alone.
2. Recognising the changing nature of risk has the potential to unlock huge opportunity by enabling organisations to prepare for different eventualities.
3. Taking a proactive approach to risk, powered by data and actionable insights, can help manage and mitigate vulnerabilities. These insights can be a tool to answer today’s supply chain questions.
4. Approaching the ever-changing global landscape with an agile and adaptable mindset is crucial in a time of geopolitical uncertainty.
5. Taking a 360-degree perspective on climate-related events has the potential to help futureproof operations: a ‘new era” of extreme climate events requires a new approach.
6. Getting ahead of rapidly evolving legislation, including via evidenced supply chain compliance, can deliver competitive advantage.

Jim Yarbrough, Global Director, Supply Chain Solutions, BSI, said: “Food and beverage continue to be the top commodities stolen in transit throughout the supply chain. Such products are always in high demand, and inflationary factors have resulted in sharp price increases over the past few years. To better navigate the challenges of the modern global supply chain landscape, supply chain leaders can make the most of supply chain intelligence solutions to help them implement proactive and robust supply chain risk management strategies. Equally, the shared experience of the global pandemic and subsequent geopolitical and economic challenges has taught us that no single organisation can handle supply chain management on their own — collaboration is absolutely critical.”

The full BSI report is available for download here.

Image credit: iStock.com/1shot Production