Costco CFO Richard Galanti said on Thursday that Costco is putting purchase limits on “key items,” such as toilet paper, paper towels, bottled water and certain cleaning products, according to CNBC.
Driving the news: The problem has shifted from over-purchasing to a myriad of problems such as shipping delays, higher labor and freight costs and shortages on raw materials and ingredients, according to CNN.
- “A year ago, there was a shortage of merchandise. Now they’ve got plenty of merchandise but there’s two- or three-week delays on getting it delivered…it really is all over the board,” Galanti said.
The big picture: At the onset of the pandemic early last year, there was a shortage of many goods including toilet paper.
- Those shortages have eased, but earlier this week Costco announced there would be delays on toilet paper orders, Fox Business reports.
- Supply shortages across the board are expected to impact the holiday season and will likely persist at least through next spring.
