 Rohan Masakorala |
CEO of Shippers Academy Rohan Masakorala noted that the disruption caused by the Suez blockade could continue for about four weeks. Masakorala was certain that freight rates would rise and there would be considerable uncertainty in international logistics.
Following the incident, the Shanghai Freight Index rose sharply. Local agents are uncertain to the extent that global shipping lines will reduce their calls on local ports. There is also a considerable concern for perishable cargo and the imposition of charges on shipping vessels due to the delay.
The backlog and need for rescheduling and storage will cause considerable logistical problems on all regional ports. Export firms are expected to have to compete to try to secure outbound space in the coming weeks. Local shipping agents are unlikely to be able to give firm assurances to their clients.
