More than half said they were making changes to the equipment they used, such as seeking out renewable energy sources or using new vehicle or engine types.
Darren Watkins, senior business analyst at IGD, said suppliers were experiencing cost increases in oil-based inputs such as plastics; an overall rise of 40% in their energy budget due to high gas prices; and greater factory prices as a result of rising electricity costs.
“This can lead to an overall operational cost increase of at least £500,000 a year,” he claimed.
But he added: “The good news is that over the past 12 months, suppliers have increased production speeds, increased the recycling of waste water, started to make use of backhaul where possible, and started to move from truck to train/sea for transportation as they respond.”
Suppliers rated the impact of rising energy costs at 7.2 on a scale of 1-10. Retailers rated the impact at 7.7 out of 10, while wholesalers were hardest hit, rating the severity of impact at 9 out of 10.
Some retailers had created energy strategies as a result, setting targets for reduction and efficiency, IGD said.
