"The demand for our flavor products has just been unprecedented," Kurzius said. "And this recent challenge around logistics really makes it hard to keep up with the demand."
But costs for raw and packaged materials and transportation have increased significantly, Kurzius said, and the company isn’t planning on raising product prices.
"In a lot of ways, McCormick's flavoring products are part of the solution for consumers and dealing with higher prices," Kurzius explained.
"When meat gets more expensive, our spices and seasonings are a way to make maybe a cheaper cut of meat taste just as delicious as the expensive, prime cut might've been," he continued.
A combination of port delays, COVID-19 outbreaks and worker shortages has slowed the flow of products from Asia to North America, taking nearly 80 days -- twice as long as before the pandemic-- to transport goods, retail and shipping executives told The Wall Street Journal.
Hoping to avoid shipping delays and port congestion, Kurzius said McCormick has taken extra measures to ensure their spices remain stocked on store shelves.
"We've had to take extraordinary steps like air freight and things with a tremendous cost," Kurzius admitted, "and keeping extra stocks of inventory on hand in order to make sure that we can continue to supply customers."
But with 40% of McCormick’s sales coming from outside the U.S., Kurzius still expresses worry over the state of the global supply chain.
"The impact on global trade has a direct impact on us," he said.