Unfortunately, it’s more of the same at the Ports of LA/ Long Beach with the picture looking all too familiar with regards to congestion. Here is a view from this morning from www.marinetraffic.com.
At least the deadline for when Late Dwell Charges will be implemented has been pushed out again – until December 27th for now.
On a related note, detention and demurrage costs are holding the attention of the U.S. Congress, as the government body continues to solicit input from shippers to create a plan to act on the problem. From JOC.com, “The Ocean Shipping Reform Act (OSRA) 2021 will mandate that regulators institute a requirement that ocean carriers and marine terminals certify that any detention or demurrage bill comply with US shipping law — in other words, that it serves the purpose of incentivizing fluid cargo movement. Bottom line: If a shipper is unable to pick up or return a container due to factors outside of its control, the fee would not be deemed as incentivizing cargo fluidity and thus would be considered illegal.”
Also in Washington, in an effort to treat everyone fairly—at least in terms of getting space on a container—the Biden administration is calling on carriers to move more freight from U.S. agriculture companies. Carriers are returning empty containers to Asia so they can take advantage of higher-yield imports, leaving U.S. food and feed shippers stranded. The administration has asked carriers to treat imports and exports equally and make use of less congested ports.
The importance of intermodal and its role in the global supply chain has been in the spotlight this year. In 2022, it will be important for that vital link to step up and meet the growing demand being put on it.
Lastly, the Port of Long Beach is hoping to up its game by creating software that will help shippers “track their cargo through the complete supply chain.” The port is calling the software the Supply Chain Information Highway, and it will provide the data needed to improve in-transit visibility. A prototype should be available in February 2022.
To read more about these stories, check out the article highlights below.
