Well-placed to weather conflicts
Shipping disruption caused by Houthi rebels in the Red Sea has so far not impacted fertiliser prices or supply on farm.
The NZ head for the giant shipping line Hamburg Sud - a major carrier of our primary exports - says there are multiple factors in shipping delays caused by Covid-19. Simon Edwards says there is also high demand for shipping in the uncertain times.
He says his company is fully committed to servicing the NZ market and in the past nine months has increased the number of its vessels calling at our ports, to alleviate some of the supply chain congestion.
"As well as investing in increasing our container pool, we have also invested in 'extra loaders' both to evacuate low-grade containers from Ports of Auckland and alleviate depot congestion, as well as positioning empty reefer and food grade quality containers into the country to support our agricultural exports," he says.
Edwards says Hamburg Sud will continue to focus on communication with their customers to keep them informed about the current supply chain situation, here in New Zealand and in the Asia Pacific Region. He says they have also changed the way they implement vessel contingency plans with increased lead time and a higher focus on structural contingencies to empower our customers and enable them to improve their supply chain planning and cargo flows.
He says it's hard to predict how long the disruptions will continue given the complexity of the global supply system.
"But based on the current market dynamics and continued impact from Covid-19, we expect the current situation to last well into 2022."
