EIPC brings production of SUBWAY cookies to Europe
European Independent Purchasing Company (EIPC) is delighted to announce that production of the SUBWAY brand’s cookies has moved to Europe, marking the first time the famous cookies have been produced outside of the United States.
The cookies will now be produced at the ARYZTA Bakery in Gerolzhofen in central Germany, and distributed by EIPC to over 4,500 SUBWAY stores across Europe.
Offering the same great taste and value for money, the ARYZTA Bakery will produce over 100 million SUBWAY cookies a year and different varieties of the SUBWAY brand’s own label cookies such as Chocolate Chip, Chocolate Chunk, Raspberry Cheesecake, Oatmeal Raisin, White Chip and Macadamia Nut.
The new bakery has been opened to meet the growing demand for the SUBWAY brand in Europe. By 2020, the number of SUBWAY stores in Europe is expected increase by almost 40 percent from the current 4,500 to 8,000.
Ben Fricke, Commercial Director at EIPC, said: "For expansion plans of that magnitude we need suppliers who will grow with us and an organised team responding to the needs of Franchisees and markets appropriately”
With the cookie production move to Germany, EIPC has now successfully completed the move to Europe to reduce food miles, allow for a quicker response rate, and create a more flexible supply chain. Wherever possible, the bakery will also use locally sourced ingredients from Germany, strengthening the efficiency and flexibility of the supply chain further.
Frank Kleiner, Managing Director at ARYZTA, said: “ARYZTA has been a global bread and cookie supplier for the SUBWAY brand for more than 20 years. The change to produce in Germany is also a key partnership commitment from ARYZTA to help the brand grow in markets that continue to open new stores and fuel brand growth in this, the SUBWAY® brand’s 50th anniversary year.”
By moving production of the cookies to Germany, they will now be made using free range eggs, as is the case with all of the SUBWAY brand’s own label products in Europe. That has been a goal of the EIPC’s as part of the SUBWAY® brand’s commitment to responsible sourcing and animal welfare standards.
The new 600 square metre bakery in Gerolzhofen was chosen for its central Europe positioning to provide optimum distribution efficiency to SUBWAY® stores across Europe. The bakery is an extension of the existing Hiestand Deutschland GmbH bakery, which started operation in 1989. Now owned by ARYZTA, the world’s largest specialty bakery company, construction of the bakery extension has taken a year with EIPC ensuring the latest technological developments and advancements are featured throughout.
The bakery also has a state-of-the-art research and development centre, which EIPC will use to work with SUBWAY and ARYZTA on ongoing cookie innovation. The new cookie bakery has also benefited the Gerolzhofen community, with a number of job opportunities created. An additional 50 positions have been recruited for and filled to produce the SUBWAY® brand’s cookies; now 350 employees are working at the ARYZTA bakery.
Mike Attwood, Purchasing Director at EIPC, commented: “We are delighted to have moved the production of the SUBWAY brand’s famous cookies to Europe for the first time. We’ve been working towards this milestone for many months, as we continue to seek the most innovative and efficient procurement methods for SUBWAY Franchisees across Europe, without comprising the quality or great taste that the brand is known for around the world.
“The new bakery will be a huge asset to our supply chain, with faster response rates and reduced distribution times, enabling us to better serve the Franchisees. We completed a period of rigorous testing at the bakery, and production has now officially started. We hope the bakery will prove a great success and asset to EIPC’s management of the SUBWAY brand’s supply chain in Europe.”
Owned by SUBWAY Franchisees, EIPC is a non-profit making organisation that delivers financial and service benefits to Franchisees through volume purchasing and pan-European supply chains. The company is responsible for procuring the SUBWAY brand’s food, packaging, equipment, utilities and services for over 4,500 stores across Europe.
European Independent Purchasing Company Limited (EIPC) was formed in 2001. Owned by SUBWAY Franchisees, it is a non-profit making organisation that delivers financial and service benefits to SUBWAY Franchisees through volume purchasing and pan-European supply chains.
The company is responsible for procuring the SUBWAY brand’s food, packaging, equipment, utilities and services for over 4,500 SUBWAY® stores across Europe – by negotiating price, supply and distribution terms.
In addition, EIPC looks at all supply chain opportunities that will result in better operations, savings or quality for SUBWAY® Franchisees. The overall aim of EIPC is to help SUBWAY Franchisees be as profitable and competitive as possible. Since 2001, EIPC has delivered over £184million of benefit to SUBWAY Franchisees across Europe.
Biden establishes Supply Chain Disruptions Task Force
The US government is to establish a new body with the express purpose of addressing imbalances and other supply chain concerns highlighted in a review of the sector, ordered by President Joe Biden shortly after his inauguration.
The Supply Chain Disruptions Task Force will “focus on areas where a mismatch between supply and demand has been evident,” the White House said. The division will be headed up by the Secretaries of Commerce, Transportation, and Agriculture, and will focus on housing construction, transportation, agriculture and food, and semiconductors - a drastic shortage of which has hit some of the US economy’s biggest industries in consumer technology and vehicle manufacturing.
“The Task Force will bring the full capacity of the federal government to address near-term supply/demand mismatches. It will convene stakeholders to diagnose problems and surface solutions - large and small, public or private - that could help alleviate bottlenecks and supply constraints,” the White House said.
In late February, President Biden ordered a 100 day review of the supply chain across the key areas of medicine, raw materials and agriculture, the findings of which were released this week. While the COVID-19 health crisis had a deleterious effect on the nation’s supply chain, the published assessment of findings says the root cause runs much deeper. The review concludes that “decades of underinvestment”, alongside public policy choices that favour quarterly results and short-term solutions, have left the system “fragile”.
In response, the administration aims to address four key issues head on, strengthening its position in health and medicine, sustainable and alternative energy, critical mineral mining and processing, and computer chips.
Support domestic production of critical medicines
- A syndicate of public and private entities will jointly work towards manufacturing and onshoring of essential medical suppliers, beginning with a list of 50-100 “critical drugs” defined by the Food and Drug Administration.
- The consortium will be led by the Department of Health and Human Services, which will commit an initial $60m towards the development of a “novel platform technologies to increase domestic manufacturing capacity for API”.
- The aim is to increase domestic production and reduce the reliance upon global supply chains, particularly with regards to medications in short supply.
Secure an end-to-end domestic supply chain for advanced batteries
- The Department of Energy will publish a ‘National Blueprint for Lithium Batteries’, beginning a 10 year plan to "develop a domestic lithium battery supply chain that combats the climate crisis by creating good-paying clean energy jobs across America”.
- The effort will leverage billions in funding “to finance key strategic areas of development and fill deficits in the domestic supply chain capacity”.
Invest in sustainable domestic and international production and processing of critical minerals
- An interdepartmental group will be established by the Department of Interior to identify sites where critical minerals can be produced and processed within US borders. It will collaborate with businesses, states, tribal nations and stockholders to “expand sustainable, responsible critical minerals production and processing in the United States”.
- The group will also identify where regulations may need to be updated to ensure new mining and processing “meets strong standards”.
Partner with industry, allies, and partners to address semiconductor shortages
- The Department of Commerce will increase its partnership with industry to support further investment in R&D and production of semiconductor chips. The White House says its aim will be to “facilitate information flow between semiconductor producers and suppliers and end-users”, improving transparency and data sharing.
- Enhanced relationships with foreign allies, including Japan and South Korea will also be strengthened with the express proposed of increasing chip output, promoting further investment in the sector and “to promote fair semiconductor chip allocations”.