War affects on supply chain · Freight Skool Group

War affects on supply chain

Growing up there was a song, War What is it Good For. The one thing war is not good for is the affect on global supply chains. The immediate impact is being felt within days, the visibility tool provided by KPLER below provides the challenge the SSL are experiencing.

MSC notified all shippers cargo will be dropped at the closet port and they will consider the freight delivered. The demurrage and storage charges will apply still, shipper is responsible to move to Jebel Ali port at their own expense.

The other vessels trapped in the gulf or cannot complete their deliveries will affect capacity on other lanes unrelated to the middle East. The GRIs from the Middle East are $2000-$3000 USD extra for war time surcharge. This is more than we charge one shipper from Pakistan to Canada for the ocean line haul rate.

Fuel, the north American fuel providers increase rates based on potential challenge of supply chain interruptions. The first 3 days, not much, yesterday we did see significant spikes at the pumps as this region supplies 20% of the fuel globally.

Blog: Strait of Hormuz Disruption - Which container vessels are trapped, waiting, or diverting?

The global supply chain is first to feel the impact. North America and the balance of the worlds supply chain, feel it within days maximum weeks.

This author did sign up a new customer from Pakistan with 80 containers per month. They do say timing is everything in sales. Now Patience is required.

I hope for a speedy resolve that keeps casualties' to a minimum.

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