The potential fall out of a messy break-up between the United Kingdom and Europe has started to take effect, with Domino's confirming it's stockpiling key ingredients for its famed pizzas.
The company has reportedly spent some £7 million - that's more than $12 million AUD - to buy up ingredients, in the event a 'no deal' Brexit disrupts supplies.
Roughly 30 per cent of Domino's ingredients are imported from outside Britain. These include tomato sauce (from Portugal), tuna, pineapple and frozen chicken.
Earlier this week British Prime Minister Boris Johnson confirmed he would 'Brexit' by the October 31 deadline - with or without a deal with the European Union.
A no-deal Brexit could results in trade issues and physical delays at borders. This would acutely affect importers of perishable foods - like Domino's.
Last month, The UK Food and Drink Federation warned a 'no deal' exit - without any trade protection for British importers - would be 'disastrous' for the country's food and drink industry.
"It is likely that shoppers would notice significant and adverse changes to the products available and random," they told local media.
A spokesperson for Domino's said the company was aware that there has been an increased probability of supply shortages.
"As the probability of this risk has increased, the Group has implemented a series of measures to minimise the impact of supply chain disruption," a spokesperson said earlier this week.
It's expected that any stock shortages would result in higher prices for importers, with the potential cost passed along to consumers.
It's understood the stockpiled ingredients should hold the company over until 2020.
Domino's is not the first major food company to warn of disruptions to supply chains from Brexit. Earlier this year, KFC, McDonald's, 'Pret a Manger' and various local supermarkets expressed their concerns about the possible 'messy' breakup.
It's not just UK food companies that have taken to stockpiling. Earlier this year it was revealed car manufacturer Jaguar Land Rover, industrial supplier Siemens UK and beer supplier Heineken had also taken steps to ensure supplies.
