Whole Foods and other grocery chains are experiencing supply shortages after a cyberattack targeted United Natural Foods (UNF), one of the largest wholesale food distributors in the U.S. The attack, which began on June 5, caused IT disruptions that have led to delayed food deliveries, leaving shoppers frustrated and shelves at some stores, including Whole Foods and IGA, partially empty.
Cyberattack on UNF Disrupts Food Distribution
UNF, a major supplier for many grocery stores, including Whole Foods, reported unauthorized access to its IT systems. This has delayed the distribution of food to several stores, leading to visible shortages, especially in products like fresh produce, meat, and dairy.
Sandy Douglas, the CEO of United Natural Foods, addressed the disruption during a June 10 earnings call. He assured customers that the company had activated its incident response plan immediately after detecting the hack. However, as of the latest update, the issue was still ongoing. While UNF was still able to deliver goods, it was being done on a “limited basis”, with some accounts being more heavily disrupted than others.
Douglas emphasized that the company was working closely with its customers and using workarounds to fulfill orders, though the situation was still a work in progress. “We are partnering with customers across the country and doing everything we can to serve their needs,” he said.
Shoppers React to Empty Shelves
The disruption is evident at Whole Foods, where shoppers have reported noticing empty shelves in stores. Many took to social media to share their experiences, drawing comparisons to the early days of the COVID-19 pandemic, when store shelves were often bare.
One shopper posted on Facebook: “Whole Foods is starting to look like March 2020,” referring to the pandemic’s initial wave when stock shortages were widespread. Others noted that certain items, like avocados or strawberry ice cream, were unavailable, with half-empty shelves in several sections of the store.
Ongoing Investigation and Recovery
UNF is working on restoring its systems and customer service. The company is also cooperating with the FBI as part of the investigation into the cyberattack. Douglas, however, did not specify how many of UNF’s customers were affected, noting that each customer’s situation was being addressed on a case-by-case basis.
“We’re working in a very customized way by market and by customer to serve the capability that exists,” Douglas added, referring to the ongoing recovery efforts.
Previous Cyberattack Incidents
This attack on United Natural Foods is just one of many recent cybercrimes affecting companies worldwide. The frequency of cyberattacks has been rising, and many businesses, including those in the food supply chain, are finding themselves vulnerable to such incidents.
For example, Christie’s auction house was recently forced to settle a class action lawsuit over a cyberattack, paying out $990,000. These types of incidents highlight the growing challenges of cybersecurity in industries that affect consumers directly.
While UNF and its customers are working hard to resolve the issues caused by the cyberattack, shoppers will likely continue to experience disruptions in food supply chains for the time being. Whole Foods and other stores that rely on UNF are doing their best to manage stock shortages, but it may take some time before operations return to normal.