Quarterly Newsletter September 2022

Supply Disruptions and Increased Costs in the Grains Market

As we close out Q3, we would like to highlight the most pressing issues affecting our industry:

  • The energy and the natural gas situation

  • Freight and Shipping

Natural Gas

At the end of August, German power, the benchmark for European power broke 1,000 Euros (per megawatt hour) for the first time as the energy crisis intensifies. In recent weeks prices in Germany and France have surged +25%. The crisis is expected to continue as we enter the heating season. (Reference Bloomberg.com)

Pricing and access to natural gas are affecting Europe and the United States. Our partners and production facilities are directly impacted by this crisis. We continue to monitor the situation closely and how this affects our business.

Freight And Shipping

When it comes to operations and logistics we are seeing an easing in shipping and truck constraints this quarter.

With the slowdown of the global economy, we have seen the costs of shipping containers come down – a welcome change. This comes in addition to availability with more containers and ships available, reducing shipping times. With respect to freight and trucks, there has been improvement in availability, more drivers, and overall improvement with trucking congestion.

Office Updates

Back at our home office here in the Netherlands, we welcomed several new team members in recent months within our Quality, Trade, and Back Office.

We are looking forward to celebrating our 20th year anniversary with our team and look forward to sharing more updates with you in the coming months.

THE WORLD OF SPIRITS

WHISKY

As with many things in the world around us, we are seeing the long-term effects from the Covid pandemic. Whisky shortages and whisky distilleries are one business that has been impacted long-term.

Between 2020 and 2022, distilleries faced closures due to lockdowns and some shifted production to alcohol for sanitizer purposes. Whatever the reason, we are now seeing that certain distilleries are facing shortages of whisky because they didn’t have 100% production capabilities in recent years. This is now creating a shortage in 3 YO whisky for both malt and grain. Because of these impending shortages, whisky owners and distillers are holding onto their older stock, 4 YO and 8 YO so that they can sell these to replace the demand for younger aged whisky- this all results in limited availability and price increases.

While whisky and related products are in high demand, we can help with further inquiries and alternative products.

SPIRITS PRODUCT FEATURE

LIMITED EDITION PREMIUM AGED SPIRITS - NOW AVAILABLE

We are pleased to announce a very limited volume of very old, aged up to 60 years, Armagnac, Calvados, and Cognac. In addition to a 100-year-old Brandy.

Inquire with our team to learn more about the products and availability.

TEQUILA AND AGAVE

There has been a lot of buzz and demand for tequila and agave products in recent months. One big hurdle is the CRT certification – the certificate you must have to buy and sell tequila from Mexico.

How can we help?

Contact us today by email or phone.

Related posts

Earlier this month, I had the pleasure of speaking with the Sasma Logistics team. Meet Pim Schouten our Logisitcs Manager, and Amir Tawfik, Nicolai Koelhof, Alexandru Onica, Moon Nguyet Nguyen, and Charitha Heeren Sasma’s Logistics Operators.
The Tequila Trend: an increase in demand. The world’s thirst for tequila is increasing. Besides cocktail culture’s demand for the spirit, many consumers are discovering a more sophisticated and exotic drinking experience thanks to tequila and its variations.

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Office Phone: 
+31 79 204 0824

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