Page 6 - Al-Rashed Newsletter July 2021

SHIPPING WORLD

Ever Given, the Ship That Blocked the Suez, Makes It to Port
The Ever Given, the container ship that blocked the Suez Canal for days and
disrupted global shipping for weeks after, pulled into port in the Netherlands
early on 29th July—ending a three-month saga that included a still-
mysterious grounding, months of negotiations overcompensation with Egypt
and a consignment of summer womenswear too late for the season. The
ship, a 1,300-foot behemoth that carries 18,000 container boxes of cargo, is
one of the world’s biggest seagoing vessels. For months, it has been one of
the world’s best known, too, after its bow wedged into the Suez Canal’s
eastern bank and its stern swung around and planted itself into the other side
—blocking traffic in both directions.

IPPC pushes for cleaning certificates for every container – but 'it's
unworkable'
Members of the International Plant Protection Convention (IPPC) are pushing
for the industry to clean every container transported by ship, with certification
that it has been cleaned, to prevent the spread of invasive species.
According to the five-member Cargo Integrity Group (CIG), the IPPC has
become impatient with the maritime industry, which was meant to develop a
workable plan to deal with the spread of pests like the Khapra beetle, Asian
gypsy moths and fire ants. In the absence of a workable alternative to
protecting against pests, the IPPC favours a blanket regulation that “could
have a similar detrimental effect on supply chains to the Covid pandemic”,
according to James Hookham, of the Global Shippers Forum.

$32,000 / container to move from China to LA
The blows to the global supply chain never seem to end in 2021, resulting in
delays that have sharply reduced the system’s effective capacity and put
upward pressure on shipping rates that began reaching record highs months
ago. Purchasing ocean transportation has become so expensive that many
companies with lower-value commodities can’t afford to import anymore,
analysts and logisticians say.
Vessel operators have no extra ships to meet a tidal wave of freight demand,
containers are in short supply or can’t get quickly repositioned where
needed, and destination ports are piling up with boxes because they can’t
keep up with the volume. The logjam, which is adding weeks of delay for
major export trades from Asia, has been exacerbated by a series of weather-
DID YOU KNOW? and COVID-related events, as well as operational mishaps. The main culprit

McDonald's once created a is breakout consumer spending in North America, which has increased
bubblegum-flavored broccoli. import levels by 10% in the first half of 2021 compared to 2019. The demand
There's a world record for the most
world record titles- Ashrita Furman, is pulling ships and equipment from other parts of the world, creating scarcity
held more than 600 Guinness World in those regions.
Records
New Zealand is home to 4 million
people and 50 million sheep

Source: wsj.com, , loadstar.com, splash247.com, freightwaves.com