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Is There Really a Velveeta Shortage? Kraft Could Threaten Super Bowl 2014

Velveeta Shortage

Kraft Foods is warning consumers there could be a Velveeta shortage in the next few weeks.

According to a Kraft statement sent to CBS MoneyWatch. "Any issues with availability are much more noticeable given the seasonal demand," the statement noted. "However, we have not heard from many consumers that they are having issues locating the product and we expect this to be a short term situation."

Ad Age contacted Kraft about the Velveeta after reports of a shortage at a few East Coast grocery stores. According to an employee of a Brooklyn-area grocery, they weren't expecting shipments again until February due to a plant issue.

When asked for details, Kraft spokeswoman Jody Moore said: "I can tell you there is a combination of factors involved, but the driver is really the high demand." She added: "We really haven't heard much from consumers about it at all. It's a short-term issue amplified by the fact that this is a key time for the brand."

"Given the incredible popularity of Velveeta this time of year, it is possible consumers may not be able to find their favorite product on store shelves over the next couple of weeks," Kraft spokeswoman Jody Moore said in an email to AdAge. "Our retail customers are aware of the situation and we expect it to be a short-term issue."

January and February is peak dip season. Despite the peak season, some skeptics could accuse Kraft of staging a “shortage” for the sales.

If there really is a shortage, Kraft is risking losing out on sales during the chips-and-dip season, as the NFL playoffs continue and the Super Bowl coming February 2, 2014.

These shortages have become a typical feature of major food holidays in the United States. It's hard to really say if there is a real Velveeta shortage as of yet. Let's be honest with ourselves, in the beginning of November, Butterball faced a potential shortage of a certain size of its fresh turkeys, but everyone was still able to enjoy a Turkey on Thanksgiving.

Kraft Foods Group is based in Northfield, Illinois and also owns brands including Jell-O, Oscar Mayer and Maxwell House.


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