What are people in the Industrial & Logistics (I&L) sector talking about recently?
The main topic of discussion in the international supply chain & logistics arena has been around capacity in both container shipping and warehousing post-COVID.
As we move towards the light at the end of the tunnel following the global pandemic, there has been a rapid increase in volumes of cargo, as the West restocks for spring/summer in anticipation of a rebound of buying from the Far East to the West.
The consumer markets in the West have shown a strong appetite for products of all types which has resulted in full ships and significant congestion in Singapore over the past few weeks. Feeder ships are discharging daily volumes from South East Asian countries, but they are unable to get on board mainline ships, which is leading to delays in the schedule. This will start to impact European ports , as they struggle to cope with the interchange volumes (typically 6,000 containers per port call).
Meanwhile, the COVID-operating restrictions continue to impact every operation in every country. Expect Rotterdam to be badly impacted as well as UK ports such as Felixstowe, Southampton, amongst others.
Following a record year for the industrial sector in 2020 - where do you see further growth in the I&L industry?
We are in a period of great change with the 4th Industrial Revolution ushering in new technologies rapidly, but the UK economy will continue to adapt, and this should be another big year for the logistics sector. History, if recognised properly, will have many lessons to teach us.
If you had a superpower in the realm of real estate. What would it be?
The superpower to unload shipping containers to ease port congestion.
About the Author
Chris Evans is a International Shipping, Logistics & Supply Chain specialist with wealth of experience in Far East, South Asia, Europe and the UK.