Minnesota companies report on supply chain issues – WCCO

MINNEAPOLIS (WCCO) – Supply chain problems cripple businesses large and small. On Wednesday, a panel on Capitol Hill heard concerns from some of them, including two Minnesota companies.

Minnesota Congressman Dean Phillips presided over a hearing in the United States House on Wednesday morning, seeking comment from those very affected by the challenges of the global supply chain.

The companies described a host of issues related to labor shortages, rising costs of shipping and supplies, and soaring demand that puts pressure on freight transportation.

Two Minnesota companies – third-party logistics company CH Robinson in Eden Prairie and Maud Borup, a candy and food gift company in Plymouth – have addressed these issues. A senior CH Robinson executive highlighted the shortage of truck drivers that preceded the pandemic. He suggested expanding training and incentives that improve quality of life.

Maud Borup detailed a “serious” shortage of workers, down to 100 people. Even with a 36% pay rise, that doesn’t help.

“The situation is so serious that despite the purchase of six acres of land adjacent to our lot, our business has to put its expansion plans on hold. Our desire is to continue operating in our corner of Minnesota, where our current labor shortages are unsustainable, ”said Christine Lantinen, CEO of Maud Borup.

Census data shows the Twin Cities metro has the worst housing shortage in the country. This is because the cost of building supplies increases.

A small home construction business owner in Florida said he typically receives price hike notices from suppliers once a year. Now he says these notices are coming in every week.

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