Freight Delays Explained

COVID-19 disruptions, Industrial action, and high-level parcel volumes every week have consequently resulted in lengthy delays to delivery times, which are likely here to stay for the near future.

The problems began when the coronavirus pandemic first hit China in 2020, and grew worse when the giant container ship, Ever Given, blocked the Suez Canal in Egypt for almost a week earlier this year. Months on end of shipping disruptions, stemmed from the former, combined with covid-triggered factory shutdowns, port congestions and shipping container and labour shortages, have given rise to all kinds of delays for all kinds of products.

Whilst these kinds of delays are relative nation-wide, for the food industry specifically, NSW has arguably been hit the worst for all domestic freight, experiencing shortages of drivers due to them returning positive covid test results, and depot closures due to covid cases as well.

In an article posted by ABC News, Shippit’s Chief Executive, Rob Hango-Zada has stated: “Our data tells us that we’re seeing a two-to-three-business-day delay on most deliveries going across the nation. But with the recent union activity and volume delays that we’re seeing in networks, that’s really starting to blow out beyond that three-to-seven-business-day mark.”

Supply chain delays and increased consumer demand has led to shipping containers backing up at Australian and global ports, not only resulting in very long wait times for consumers, but also making it much more expensive for businesses to ship their goods. In fact, there is fear that Australian shoppers eyeing both domestic and commercial goods for Christmas have already missed their chance to get them under the tree due to the punishing backlog of deliveries at ports.

Jackson Meyer, Chief Executive of Victorian-based freight forwarding firm, Versus Global, told Channel Nine that cost ‘trickle-down’ will hit a variety of products, including food, furniture and clothing. Over the coming months, prices on some goods could move “substantially” because of the shipping gridlock, which is now so dire that Mr Meyer has predicted it will likely last until early 2023, says Channel Nine.

There is no denying the impact that this unprecedented period of disruption has had on both overseas and domestic freight, so please bear with them as they work their hardest to get your equipment to you as safely and as soon as possible.

In the meantime, Vanrooy is available for any questions you have, and as always, we will continue to provide as much information and detail as we can regarding the shipping and delivery of your orders.

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