Hello, it’s IINO.
I would like to broadcast IINO san’s Logistics Radio.
Today, I would like to talk about practical matters, the recent delays of mainline vessels.
Daily Logistics Radio by IINO san in 2nd Dec. 2021
Cogestion Occured in Asia
If you are involved in trade and international logistics, you are probably aware of the fact that most ships are not running on schedule at the moment and are being delayed.
The other day, a customer said to me that he is going to use another forwarder because the delay is so bad. However, to be honest, I think it’s the same no matter which forwarder you use.
The congestion on the West Coast of North America is still continuing as I have already explained, but congestion is also occurring at various ports in Asia.
In Shanghai, Busan, Singapore, and other ports, there are delays of one to three days in loading and unloading due to the offshore waiting.
More Confusion by Omit
For services that include such ports in their routes, a delay will be fixed if just at one port, there is offshore waiting.
When this happens, the shipping company will omit the port in order to restore the schedule. If the shipment was scheduled to be loaded at the port where omitted, it will not be loaded, and this will lead to more confusion.
Booking and Space
Nowadays, ships are booked weeks in advance, as there is no space available on last minute Booking. It is extremely difficult, or rather impossible, to choose a ship that will not be delayed.
We can see the movement of the main vessel of each ship, but cannot check the Booking status, because the shipping companies do not disclose it.
Also, since we don’t know the space status, we can’t choose a shipping company to book with considering the delay.
For example, even if we find out that a certain ship is not delayed, we may not be able to book it until a month later.
A particular shipping company may have a delay and charge a lower fare for it, or another with less delay may charge a higher fare.
Which would you choose? That’s what I mean.
What We Should Do Under the Current Situation
Port congestion is not a problem of the shipping companies, but a problem beyond their control.
In case that our service is poor, we will try to improve it, but if you tell us something we cannot control, there is nothing we can do. Nevertheless, I understand that customers have their own reasons.
I thought it was necessary to tell you about the current situation because it is a talk what choices you will make under the current circumstances.
I ask for your understanding in this current market situation.