As we celebrated the New Year there was a viral cloud over Wuhan, China but little did we know the devastation being hidden from the world.
We have already endured and have witnessed the peak many countries have been through and what South Africa is only now approaching. At this time we caution against complacency and ask people to increase vigilance and guard against the many global distractions and disinformation and protect ourselves.
Costs, Supply and Terms Severely Impacted
There are many protective products still not being manufactured in the Global Supply Centres, with manufacturing focused on the faster moving, higher demand products like gloves, face masks, type 5/6 coveralls and sterile products all of which are in global short supply. Pricing remains high with extended lead times for all products and raw materials supply is also limiting manufacture.
Cost prices for genuine protective products are trading wholesale for cash at multiples of 5 to 10 times pre-CoVID-19 prices with lead times that were previously weeks now many months. The market dynamics have shifted enormously with items like Nitrile Gloves and Face Masks, in particular 3M being dominated by Commodity Traders, scams and counterfeit products.
We caution clients and users to buy from reputable suppliers because much of the product available from these “Traders” is sub-standard dumped stock and will not offer the protection you need or are expecting. Even certificates are often fraudulent and many of these traders are still claiming their products are VAT exempt. (This concession is being challenged but has expired, so be careful.) Most of the companies we have come across are dormant, non-CIPC listed or being delisted without tax clearances, but supply chains are being disrupted nonetheless. On a positive note alternate supply chains are opening up including local supply.
Traditional and New Supply Chains Opening
Looking forward, traditional supply chains are starting to open up and costs have come down a little and are stabilising for some products like 3 Ply Medical Face Masks, Dust Masks and Non-Wovens, but while other costs continue to increase including good quality Nitrile and Latex Gloves and anything sterile.
While supply is limited across entire ranges of products (like Mop Caps, Shoe Covers, Coveralls, etc. as well as Plastic Shoe Covers, Sleeves and Deli Gloves), there are niche products which are not available at all like Beard Covers.
Choose Quality Products for Proper Protection
Substitute products are everywhere and we have witnessed the rapid adoption of alcohol-based sanitizers and fabric face masks. These products have gone a long way to meet demand but here again we caution that if you have the choice 3 Ply Medical Face Masks offer meaningful protection that is effective unlike fabric face masks which are far inferior. The Advanced Disinfectant and Sanitizer we offer is 1000 times more effective than alcohol-based “domestic” sanitizers. Over and above this, Advanced Disinfectant is non-toxic and non-flammable meeting European Specifications, fit for food production. There should be no choice decisions if you have access to these products, and you do.
PPE is committed to providing truly effective products at competitive prices. We hold stock for our valued clients and are essential suppliers to government and private healthcare, pharmaceutical, food manufacture, fast food and retail sectors where we provide crucial products and services and have thus far been able to supply from stocks as a result of our procurement expertise and integrated supply partnerships with customers and suppliers.
We remain committed to our high ideals and will do what it takes to ensure ongoing supply to current and new customers.
We thank our clients for their valued and ongoing support and understanding through these unprecedented times.
Stay well and be safe.
Kindly,
Brian G Wright
CEO