Cold Chain Risks Put Fresh Produce In The Spotlight

The infrastructure keeping Britain’s fruit and vegetables fresh has emerged as a potential weak point in the food supply chain, with a new National Audit Office report warning of gaps in the Government’s understanding of the cold chain.

The findings are particularly significant for fresh produce businesses, which depend on an uninterrupted network of temperature-controlled storage, refrigerated transport, energy supplies and skilled workers to move perishable products from growers to consumers.

Around half of all food consumed in the UK passes through the cold chain, according to the National Audit Office (NAO). The system protects food safety, quality and shelf life, supports the storage of seasonal produce and enables international trade in perishable goods.

However, industry stakeholders told the public spending watchdog that the Department for Environment, Food and Rural Affairs understands the cold chain only in broad terms and lacks detailed knowledge of its critical role in managing supply fluctuations and providing storage for retailers.

The NAO identified several threats to the sector, including ageing facilities that may not be equipped for more frequent heatwaves, dependence on reliable energy supplies, rising refrigeration costs, cyber-attacks and shortages of warehouse workers and refrigerated HGV drivers.

For fresh produce, disruption at any stage can rapidly become a commercial and food-waste problem. Unlike ambient groceries, most fruit, vegetables and salad products cannot simply be stored indefinitely while transport, energy or border problems are resolved.

The report also highlights the vulnerability created by just-in-time retail operations. This model keeps costs down by moving products quickly through the supply chain rather than holding large amounts of stock at stores and distribution centres. However, it relies on continuous replenishment and leaves limited room for delays.

Britain has already experienced the consequences of disruption to fresh produce supply. In 2023, unseasonal weather in key growing regions and high energy costs reduced supplies of some fruit and vegetables. Several supermarkets introduced purchasing limits on tomatoes, peppers and salad products, while shoppers faced higher prices and reduced choice.

The NAO found that businesses have generally succeeded in maintaining overall food availability during recent shocks by switching suppliers, finding alternative products and changing distribution routes. But such flexibility can be more difficult for seasonal and highly perishable produce, particularly when severe weather affects several growing regions at the same time.

READ THE REPORT

That possibility is becoming increasingly relevant as an exceptionally powerful El Niño develops in the Pacific.

The World Meteorological Organization says El Niño is firmly established and expected to intensify, with a near-100 per cent likelihood that it will persist until February 2027. The Met Office has described the event as potentially the largest El Niño in living memory.

El Niño can alter rainfall and temperature patterns around the world, bringing drought to some regions and excessive rainfall or flooding to others. Southern Africa, north-eastern Australia, Central America, tropical South America and parts of the western Pacific are among the areas facing an increased risk of damaging conditions.

For UK produce businesses, the implications could include reduced yields, changes in quality and sizing, interrupted harvests and greater uncertainty over shipping schedules. Importers may also have to switch sourcing regions or compete for reduced volumes when extreme weather affects established suppliers.

The NAO’s examination did not assess the resilience or sustainability of UK food production itself. Its focus was on Defra’s preparations for disruptions affecting the wider supply chain in England.

It nevertheless found that Government emergency planning has involved limited participation from food businesses. Defra’s food supply disruption “playbook” has not been developed with, or shared with, the industry, while businesses have largely been excluded from national exercises testing the response to catastrophic events.

The watchdog has called for closer engagement between Defra, industry, local government and communities. It also recommended that emergency plans should be reviewed and tested with the organisations expected to operate them.

Gareth Davies, head of the NAO, said: “Recent disruptions have shown the resilience of the UK’s food supply chain, but risks are increasing in likelihood and severity.

“Defra should learn from approaches taken in other countries, and strengthen preparedness for emergencies by testing plans with local government and industry.”

For the fresh produce trade, the report shifts attention away from food availability alone and towards the less visible infrastructure that keeps perishable products moving. As temperatures rise and international growing conditions become more volatile, the resilience of cold stores, refrigerated vehicles, energy supplies and distribution networks will be increasingly important in determining how much produce reaches shoppers in saleable condition.