Coca light could become scarce on the shelves, if the coronavirus epidemic continues. In a report published Monday, the American company specializing in sodas is concerned about the possible consequences of Covid-19, on its activity. Lightened drinks, like Coca light or Coca zero, would be the most impacted.
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Coca-Cola has in fact mentioned " delays in the production and export " of zero-calorie sweeteners from China. " Our supply chain for non-nutritive sweeteners and certain other ingredients in our products includes suppliers in China," the company detailed in its report.
"Emergency supply plans"
The group relies on companies in the United States and China for a " critical raw material ", sucralose, better known under the brand name Splenda. In addition to sucralose, other sweeteners such as aspartame, acesulfame potassium or saccharin are used to make Zero Coke but also other drinks like Powerade Zero, an energy drink favored by athletes . Coca did not, however, specify which ingredients were purchased in China.
" From January 2020, our suppliers in China experienced some delays in the production and export of these ingredients, " said Coca-Cola. " Emergency supply plans " have been put in place according to the group. If there are shortages, however, they will not be for tomorrow. The company does not foresee " short term impact ". Uncertainty remains, however, about the long-term consequences. " We could witness a tightening of the supply of some of these ingredients in the longer term if the production or export operations in China deteriorate, " warns the firm in its report.
Coca-Cola also anticipates " a negative impact on the financial results of the first quarter of 2020 ". The giant of sodas had already warned the markets on Friday that a drop in sales volume of 2 to 3 points and a decrease in turnover of 1 to 2 points for the first quarter would be expected. The group remains confident, however, and believes that the epidemic should not affect the whole of 2020. Precautionary measures have also been put in place to protect the group's employees in China. Coca claims to have provided protective equipment and to monitor the health of its employees.