Cadbury to stockpile ingredients in the event of no-deal Brexit

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A senior executive at the owner of Cadbury said it is stockpiling ingredients in case of a no-deal Brexit.

Hugh Weber, the president of Mondelez Europe, told The Times that it is stockpiling chocolates and biscuits because the UK is “not self-sufficient in terms of food ingredients.”

“Like the whole of the food and drink industry in the UK, we would prefer a good deal that allows the free flow of products as that would have less of an impact to the UK consumer,” said Weber.

“However, we are also preparing for a hard Brexit and, from a buffering perspective for Mondelez, we are stocking higher levels of ingredients and finished products, although you can only do so much because of the shelf life of our products.”

“We have a contingency plan in place to manage [a hard Brexit], as the UK is not self-sufficient in terms of food ingredients, so that could be a challenge.”

The food and drink industry is just one of the sectors that are considering stockpiles of raw materials and manufactured goods to prepare for a no-deal Brexit.

Weber also said that shoppers could face higher prices and less choice in the event of a no-deal Brexit, adding that he wished Britain was “at a different stage [in negotiations with the EU] at this stage”.

In July, the health and social care secretary, Matt Hancock, said officials are considering working with industry to stockpile drugs, medical devices and supplies in case of a no-deal scenario.

AstraZeneca said last month that patients in the EU may not be able to receive medicines from the UK if the country does not “prepare well” for Brexit.

Shares in the group (NASDAQ: MDLZ) are up 0.88 percent at 42,90 (1320GMT).