Australian supermarkets limit purchases as supply chains hobbled

Woolworths Group, the country's biggest supermarket operator, said that product limits are not required at this stage, though it will continue to "closely monitor product availability" across stores. PHOTO: REUTERS

SYDNEY (BLOOMBERG) - Food purchase limits have been reintroduced in hundreds of supermarkets across Australia, taking the country back to the early days of the pandemic, as a tide of Omicron cases hobbles supply chains.

Coles Group, Australia's second-largest supermarket operator, has imposed temporary two-pack buying limits on sausages, chicken thighs and breasts, and mince, it said on Thursday (Jan 6). The company extended a one-pack limit on Covid-19 antigen rapid tests.

"Coles will continue to monitor product availability and asks that customers buy only what they need," the Melbourne-based company said.

Only customers in Western Australia, where there are fewer cases than on the populous east coast, are exempt.

In early 2020, Australian hoarders stripped shop shelves bare of flour and disinfectant, and brawled over toilet paper, as the new virus fuelled panic.

Almost two years on, broken supply chains - rather than lockdowns - are triggering the latest caps on purchases of fresh produce.

Shoppers in New South Wales state, especially those in Sydney, have faced empty grocery shelves in recent days.

Supermarkets are struggling to get goods to stores because Omicron is forcing delivery workers into isolation.

The state reported 34,994 cases on Thursday, while neighbouring Victoria recorded 21,997 infections.

The official tallies likely understate the true numbers because swamped testing clinics have been forced to turn people away, and results are taking days to be processed.

The Australian Meat Industry Council this week warned of a looming shortage because producers and suppliers were losing so many workers as Covid-19 cases or close contacts.

Woolworths Group, the country's biggest supermarket operator, said on Thursday that product limits are not required at this stage, though the company will continue to "closely monitor product availability" across its stores.

Woolworths has had a one-pack limit on antigen rapid tests since they went on sale last year.

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