C02 shortage

[Z4C_er]

Just reading with some curiosity regarding this issue. 3 of the 5 plants close at once for maintenance or scaling down? Surely this is an orchestrated event? More than coincidence.

[firebobby]

Nah, something else to blame on Brexit, you watch

[AveZ4coop]

Wot no crumpets!!

[djstan]

It does strike me as odd that the shutdowns can't be done in a co-ordinated way, but I guess they're all just independent of each other.

My understanding is that this is 'low season' for CO2 production, which is why the shutdowns occur now for maintenance.

[Mikeyay]

Since hearing this news I have been to the pub a few times “panic buying”..... much more fun than when bread and milk is short!!

[Z4C_er]

It does strike me as odd that the shutdowns can't be done in a co-ordinated way, but I guess they're all just independent of each other.

My understanding is that this is 'low season' for CO2 production, which is why the shutdowns occur now for maintenance.

Beer in summer is a low season?

[Z4C_er]

I mean it's not affecting me directly, but I keep reading about the effects of this issue, but when I looked into why, the reason just didn't sit with me. Why wind down, why close for maintenance in such a coordinated way?

[djstan]

Beer in summer is a low season?

Yes! From this Telegraph article (https://www.telegraph.co.uk/news/2018/0 ... -shortage/):

Britain’s carbon dioxide shortage has been caused by an unusually high number of closures of the factories which produce the gas as a by-product of the fertiliser industry.

The process of manufacturing ammonia releases vast amounts of CO2, which is captured and sold commercially and on which the food and drinks industry depends.

But because farmers need little fertiliser over the summer, ammonia plants often close down for essential maintenance, and the current crisis has been caused by too many plants shutting at the same time across Europe.

At least five producers in northern Europe are reportedly in closed due to a combination of technical failures and planned repairs.

The UK is the worst hit country - only one of its plants is currently operational. The gas is difficult and expensive to import, meaning food and drink producers tend to depend on local suppliers.

The high price of natural gas, which is a key raw material in ammonia production, has also had a knock-on effect in limiting production in Europe.

At the same time, a fall in global ammonia prices means the British fertiliser industry has increasingly found it cheaper to source ammonia from abroad than to produce it in the UK.

A spokesman for the British Beer and Pubs Association said the shortage is worse than in previous years because it affects mainland Europe in addition to the UK.

The spokesman said: “Supply issues here in the UK are being further complicated by a combination of planned plant shutdowns and unexpected equipment failure, in particular in connection with one of the two major national producers of bulk CO2.”

At the same time, the demand for soft drinks and alcohol has increased with the hot weather.

As a result, the food and drink industry could see shortages of produce. Carbon dioxide is widely used, including to slaughter farm animals, package food and provide the fizz in carbonated drinks.

The British Poultry Council said the shortage could have a "potentially huge effect" on food production while the British Soft Drinks Association said it was "impacting a wide range of businesses across the food and drink sector".

Heineken, the brewer, has reportedly written to pubs asking them not to place large orders for some of its beers, amid lower supplies.

An industry insider told the Daily Telegraph: “It is out of retailers’ gift to fix the issue”. Some issues with supply are already being reported by retailers in parts of the UK.

Manufacturers had been reportedly relying on emergency reserves of carbon dioxide over the past few days.

A spokesman for the British Retail Consortium said: "We are aware of some issues with the current supply of carbon dioxide across Europe. Carbon dioxide is an important input in food processing and retailers are working hard in conjunction with their suppliers to ensure food availability is maintained.”

It is not clear how long the shortage will go on for, with producers making contingency plans to maintain production while using less carbon dioxide.

It is understood that one of the shut down plants in the UK is expected to be up and running again next week.

[cj10jeeper]

Take enough industries and variables over long enough and we’ll always end up with shortages in supply of something

[bz4kev]

Really does sound like this is a planned event in order to maybe ramp up prices seems to much of a coincidence even starting to notice shelves in supermarket starting to be empty more often and what no crumpets are you kidding me that’s a step to far

[Mr Tidy]

My local Tesco had none of their "own brand" cola yesterday, only the expensive branded versions! Seeing as I wanted it to put into Morgan's Spiced I would have bought the cheapest.

[Ducklakeview]

Believe it or not, the cash and carries have actually run out of some big selling lines..

Mike

[Z4C_er]

It's nuts. And a little weird...

[Bottom]

My son runs a brewery in Glasgow. He’s had to suspend bottle sales for the week because he can’t get any CO2.

[Chris_D]

Call me a conspiracy theorist, but I think it's got summat to do with this debacle....

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