Supermarket shelves have been stripped empty in many supermarkets across the country following Sunday's announcement. Video / NZ Herald
Panic buying is a bigger threat to food and groceries access than any major Omicron-caused absenteeism among delivery and distribution operation workers in the supply chain.
That's the message from two of the country's biggest transport and logistics companies, which say sticking to normal grocery buying will help suppliers, supermarketsand the supply chain counter the effects of the latest variant in the pandemic.
Don Braid, managing director of global logistics and transport heavyweight Mainfreight is angry at what he called "inflammatory comments on toilet paper shortages by university professors who have no idea what's going on".
Auckland-headquartered Braid was incensed at a report today in which Auckland University supply chain commentator David Robb said toilet paper could run out "in a week or so".
Robb said the workforce could be impacted hugely if Omicron gets into workplaces and factories linked to the supply chain - particularly if people need to isolate or stay home longer.
He advised people to try to buy essential items before you run out and not rush out to supermarkets to stock up.
"It doesn't help the supply chain when individuals who have no idea what's going on comment," said Braid, whose company has experienced the full impact of Covid-19 variants in its 22 operations around the world.
"There is capacity available (in the supply chain) providing customers act conservatively, and for that it means the public shouldn't be panic buying."
Don Braid, managing director of Mainfreight. Photo / Supplied
Move Logistics managing director Chris Dunphy has been stuck in Melbourne since November and has experienced the full impact of Omicron in Australia.
He said panic buying was "an uneducated reaction".
"The reality is that New Zealand like Australia is a country that produces plenty of meat and toilet tissue. No-one is going to run out. There is no need for panic buying."
Both the NZX-listed company leaders said their New Zealand operations' response to Omicron would be assisted by lessons from overseas experience.
Move's Dunphy said while highly contagious, Omicron's physical effects on people in Australia had not seemed "too insidious" and were short-lived.
Australian media was reporting Omicron had peaked in NSW and Victoria, and daily cases, hospitalisations and ICU stays were "very much on the way down".
In supply chains anecdotally it appeared highly centralised and very large grocery distribution centres were impacted far greater by absenteeism and isolation obligations than smaller independent grocers and their sources.
In Melbourne the big supermarket chains had been completely out of some meat and toilet paper but smaller grocers in more rural areas were fully stocked because their distribution centres weren't as concentrated and as large as those for the big supermarkets.
In New Zealand Move, which employs more than 600 drivers across its freight, fuel carrying and warehousing operations, would meet potential large-scale absenteeism by prioritising customer services.
As the main distributor of fuel in New Zealand, serving companies like Z Energy and Farmlands, Move would ensure customers deemed to be providing essential services would get first priority for deliveries.
Empty shelves at Countdown New Lynn on day one of New Zealand's return to red traffic light setting. Photo / Jed Bradley
The company would also switch trucks and equipment to where there was a driver shortfall due to absenteeism.
Mainfreight employs 3260 people in New Zealand. Braid said all, including drivers, were fully vaccinated and the company had a good supply of rapid antigen tests with more on order. "The key is we test often."
On the greater absenteeism risk in large distribution centres, Braid agreed Mainfreight had some big operations, but noted it also had multiple transport sites and warehouses.
"That's an advantage in this situation where we can cover different sites if one has a problem with absenteeism."
Mainfreight's Covid lessons in Europe, the US and Australia had provided insights for New Zealand operations.
"No doubt absenteeism is likely to be the biggest issue and its unknown at this point what this will be in New Zealand. We feel somewhat confident because we have multiple sites and a really intensive network which will assist us."
Braid noted that Omicron rule changes in Australia and the US had helped in countering the impact of absenteeism.
Their governments had reduced isolation times and in Australia had changed the "close contact" definition timeframe from 15 minutes to three hours.
"I don't know what's right in that regard, but it has certainly helped supply chains cope in Australia and the United States."
