Spike in recorded food supply chain thefts

Despite inflation and growing food costs in many major nations, food, beverages, and agricultural items remain the most vulnerable commodities in the global supply chain to theft, accounting for nearly a third (32%) of all cases last year.

The analysis, from global provider of supply chain intelligence BSI Consulting, finds that nearly all sectors in 2024 experienced a spike in thefts, including manufacturing and construction, pharmaceutical, tech and retail.

While a proportion of this increase may be attributed to improved surveillance and reporting methods, which BSI refines each year, BSI believes that the challenges facing businesses are multiplying in both scope and scale.

Food and beverage thefts rose 79% year-on-year, with a 73% rise for agriculture, with the two categories accounting for approximately half of all in-transit hijackings.

Food and beverage represented 22% of all product thefts and one in three (29%) supply chain hijackings. Agriculture products represented 10% of all product thefts, with electronics (9%) rounding out the top three. Notable incidents included the $2.5m theft of premium olive oil in the US and the theft of nearly 1,000 tons of soybeans in Argentina.

From geopolitical tensions to climate events, technological disruptions to shifting workers and consumer demands, the new analysis highlights the critical challenges businesses must navigate, from rising instances of fraud and insider risks to the growing vulnerabilities introduced by the digitisation of supply chain systems.

Overall, two fifths (41%) of all global thefts occurred in-transit, 21% from warehouses, 4% at unsecured roadside parking, and 4% from parking lots. Thefts from containers and trailers were down 7%, as thieves globally stole cargo in the form of entire vehicles (+273% and accounting for a fifth of all cargo thefts).

The analysis uncovers cases of companies or employees staging the hijacking of their own trucks to file fraudulent insurance claims, or warehouse managers and employees taking advantage of incomplete records to siphon untracked goods.

Thieves stealing small quantities over time, which can eventually accumulate to large losses, became more common. In more elaborate schemes, unauthorised keys are created by workers to access restricted areas. The research found that economic tactics such as tariffs are increasingly being used as strategic tools to influence political outcomes and assert geopolitical objectives.

In 2024, technology continued to impact global supply chains, with businesses utilising advancements such as AI but such tools also bringing new risks. Amid geopolitical uncertainties, supply chains continued to grapple with insider thefts and labour movements, underscoring the interconnectedness of these factors and their implications for businesses, governments, and societies worldwide. Due to the complex market environment organisations must traverse, it has become increasingly more critical for supply chain, risk and procurement managers to assess their vulnerabilities through a consistent and consolidated viewpoint.

Susan Taylor Martin, chief executive, BSI said: “As geopolitical tensions, economic fluctuations, climate-driven disruptions, rapid regulatory shifts and of course the opportunity of AI redefine traditional models of operation, we are at a pivotal moment for global supply chains. With supply chains vulnerable to different pressures, businesses must prioritise resilience throughout the supply chain by leveraging technological innovation, risk management strategies and effective information management. By taking action and aligning with emerging regulatory frameworks, businesses can accelerate progress to mitigate risks and, while doing so, seize opportunities for growth in an increasingly complex global environment.”

Sergio Nogueira, president, BSI Consulting said: “With the new US administration shifting the approach to global trade, this report highlights the multifaceted challenges that businesses must navigate in their supply chain, from trade disruption and tariffs, to rising instances of fraud and insider risks or the growing vulnerabilities introduced by the digitisation of systems. These challenges are not isolated but deeply interconnected, emphasizing the need for a holistic approach to supply chain resilience — viewing all risks together through a single lens. By embracing resilience, fostering collaboration, and leveraging technological advancements, businesses can not only mitigate risks but position themselves for sustainable growth.”

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