Newsletter – March 31, 2021

AIR FREIGHT UPDATES

India’s Summer Capacity Allotment: Which Carrier Came Out Top?

simpeflying.com
India has officially announced the flight capacity allotments for the 2021 summer season. The 80% capacity limit is here to stay, for now, preventing airlines from making a full recovery in the coming months. So which airline came out on top with the allocation and who lost flights? Let’s find out. Read more here.

Tiaca outlines reorganisation as it adds new board members

aircargonews.net
Air cargo organisation Tiaca has added new board members and outlined its recent reoranisation that aims to prepare the association for the future.
The cross-supply chain group yesterday revealed the appointment of four new Board Members; Liana Coyne, Coyne Airways; Bob Chi, SATS Ltd; Manel Galindo, WebCargo; and Hendrik Leyssens, Swissport. Read more here.

OCEAN FREIGHT UPDATES

Suez blockage will hasten global supply chain shift, says Maersk boss

lloydsloadinglist.com
The blockage of the Suez Canal by the ‘Ever Given’ Evergreen containership since 23 March will hasten the global shift away from just-in-time supply chains after further exposing their fragility, according to A.P. Møller-Maersk CEO Søren Skou.
The Danish shipping giant Maersk, sometimes seen as a bellwether of global trade given that it carries one fifth of the world’s ocean-going unitised freight, has a number of ships among the hundreds of vessels delayed by the blockage of the ‘Ever Given’ and has already rerouted 15 of its vessels around South Africa, adding about 10 days to journeys. It is also considering using air freight to get crucial components to customers. Read more here.

Suez is Cleared, But Global Ocean Cargo Supply Chains Will Remain Under Pressure, Say Experts

scmr.com
The prospect of resumed passage through the Suez Canal has the maritime cargo industry bracing for the next phase of the crisis – a race to ports around the world.
Data from supply chain visibility company project44 indicates that consumer goods will be delayed as the canal incident creates worsening congestion at ports.
project44 has published cargo data and route information that highlights where the post-Suez competition for docking capacity will be the most intense. Ports including Jeddah, Rotterdam, and Singapore are likely to be overwhelmed. Read more here.

Citing ‘operational challenges’, THE Alliance delays network reorganisation

splash247.com
Faced with extreme supply chain issues roiling global trade, THE Alliance has decided to delay the implementation of its new east-west networks from April 1 to May.
With the Suez Canal blocking, container shortages and ongoing congestion issues at ports around the world, the grouping made up of Hapag-Lloyd, HMM, Ocean Network Express (ONE) and Yang Ming, has decided now is not the best time to reshuffle tonnage, according to Alphaliner. Read more here.

PIL restructuring completed

splash247.com
The restructuring of Pacific International Lines (PIL), the world’s 12th largest liner company, has been completed with a unit of Singapore’s sovereign wealth fund coming in with $600m to save the SS Teo-led carrier.
Heliconia Capital Management, part of Temasek Holdings, has bailed out Singapore’s largest liner company with funding coming in the form of loans, a revolving credit facility and an investment by way of convertible preference shares. Read more here.

INTERNATIONAL BUSINESS – GOVERNMENT UPDATES

Vaccine supply under threat from theft and counterfeits

lloydsloadinglist.com
All actors in the global supply chain must be increasingly alert to a range of risks due to criminal activity targeting COVID-19 vaccine supply, according to international freight insurer and risk management specialist TT Club.
Having warned of various threats to the COVID-19 vaccines supply chain late last year, TT Club is now reporting a spate of disruptions to effective distribution across the globe. Read more here.