By Angela Gambell, Director of Sales & Marketing
We have had relative stability over the last few months, the first in a very long time. I believe this relative stability is short lived and we should buckle back down for some more rate turbulence.
Shanghai has fully re-opened and there is now a backlog to clear. Currently there are 260,000 TEU to be cleared out just as peak season starts. This will more notably effect Europe and the USA.
USA continue to have chassis shortages, dwell delays and like all of us, driver, and staff shortages. Shipping lines have notified more LA omissions so more delays will be experienced. Europe are struggling with capacity as they hold containers bound for Russia due to the conflict in Ukraine. Along with the current strike action in UK it seems no port is safe from its own form of pain.
As an industry we are completely exhausted and over the short-term rate validities and the disappearance of long-term contracts. Online portals are hard work and have delivered nothing but lower levels of service and WAY more issues. Schedules are not reliable, and delays and changes are adding to the additional work operators already have.
Additionally, landside charges are also increasing regularly, empty parks remain congested and continue to experience issues and of course let’s not forget fuel increases!!
Stockwell’s have worked hard to try and put contingencies in place for all supply chain pain points. In response to less available contracts and less space we opened our booking office in April. Just this week we have expanded with new booking operations staff. This area of our business just focuses on space and rates. In just a short time we have seen a great amount of success with our booking office for clients. Our team plans, finds and secures the best and most suitable booking slot for our clients making sure it remains competitive. To get a container on a vessel is taking triple the amount of work (and time) so we will be separating freight bookings and customer service to ensure that they have time to continue to offer the best possible customer service to our clients. Our customers won’t notice the difference as our customer service team always remain their point of contact.
In summary, it’s been a year!! Its exhausting, challenging, frustrating and at times heart wrenching. Shipping lines continue to have a monopoly on our market, can do what they want, when they want, without recourse or justification and forwarders take on all the fallout and additional charges.
It is good to see customers educating themselves to all of the issues and forming stronger partnerships with forwarders rather than blaming them, working transparently and closely ensures both parties needs are met and there is an understanding on the common goals.
In closing don’t forget to start your Christmas ordering now, just in time shipping is for dummies and is always late and as we get closer to Christmas freight prices will increase.
