Weather, Strikes, Riots: Continued Supply Chain Disruption

This article was sourced from the Wine and Spirits Shippers Association Newsletter, on July 20th, 2021.

Italy: We received a report this morning of a planned strike in the port of Genoa for July 19. This may be cancelled; but if it occurs, we will expect schedule disruption in this port. As we have reported, Italy is also suffering from severe congestion and limited operations in the intermodal rail system, forcing most shipments to move via truck. This is affecting the flow of cargo and the price of the movement from supplier to port.

North Europe: Severe weather and rain in Germany, Belgium and France is affecting rail, truck, and barge movements in these countries. With equipment shortages in inland depots forcing pick ups of empty containers in the ports with “round trip” requirements, this disruption will create further delays in movement of cargo from these areas in the next week.

Chile: High tides continue to disrupt operations at the Port of San Antonio. Coupled with the indefinite stevedore union strike, delays and increased costs can be expected in the coming weeks.

South Africa: Riot activity in South Africa is drastically impacting the flow of supply chain. Primarily in Durban, transport activities have been completely disrupted and distribution centers have been targeted for looting. Exports have slowed as suppliers are wary to pack containers amidst the violence. We remain optimistic for a resolution soon, and send our thoughts to all of our colleagues and members in the affected regions.

We look forward to following this story and updating you as things develop.