News for Tool Hire, Equipment Hire & Plant Hire and Rental Professionals

Shipping difficulties surface again

29 May 2024

Shipping difficulties surface again

Soon afer its launch almost exactly four years ago, the blog reported on disruption experienced by shipping lines and to deliveries of imported goods caused by high consumer demand in the immediate aftermath of the Covid-19 pandemic, and the subsequent impact on costs.

After reverting to something more like normality, problems are returning but for different reasons.

According to a report in the Financial Times, many shipping lines have rerouted container vessels away from the Red Sea off Yemen to avoid attacks from Houthi militias. Instead they are sailing around the Cape of Good Hope which adds up to 14 days – and extra costs.

One major hire industry supplier recently told customers that as a result the timing of some stock deliveries is uncertain, leading to delays in product availability and order fulfilment.

While some customers are occasionally quick to criticise suppliers, stock orders often have to be placed several months in advance and so timings are beyond their control if unforeseen circumstances prevail.

The FT also reported that drought has led to the number of daily transits through the Panama Canal between the Atlantic and Pacific Oceans.

As always, such challenges call for maintaining good relationships between customers and suppliers, as well as placing orders in good time with realistic delivery expectations.

Photo: Ian Taylor/Unsplash

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