Global supply chain threatened by terror and flow of migrants

Supply chains are suffering a rise in costs and multiple disruptions due to the reintroduction of border controls in Europe and the rise of radical Islam in the Middle East.

The Charted Institute of Procurement and Supply (CIPS) – with a presence in 150 different countries – confirms that ISIS activity and Russia’s rigid attitude in world politics have contributed to the heightened risk.

Meanwhile, the migrant crisis is making some European countries close their borders, as is happening in Hungary, Croatia and Slovenia. Crossing the border in these countries can take up to 90 minutes, while other activities such as the transport of livestock have stopped entirely for several days in the past month.

This supply chain issue has caused the delivery prices for some German companies to rise by as much as 10 per cent and has increased the risk of the supply chains in other several countries of the Middle East and North Africa, such as Kuwait, Bahrain, Turkey and Tunisia.

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