Supply chain bottlenecks will take time to resolve: Shipping firm CEO

[ad_1]

Disruptions in global supply chains — which have led to a shortage of some goods — will take “quite a long time” to resolve and push consumer prices even higher, a shipping executive said.  

Global trade bounced back strongly after a slump caused by the Covid-19 pandemic. But that has contributed to problems ranging from a shortage of shipping containers and warehouse capacity, to congestion at ports and a lack of truck drivers to move goods.    

“This is going to take quite a long time to sort out,” Tim Huxley, chief executive of Hong Kong-based Mandarin Shipping, told CNBC’s “Street Signs Asia” on Tuesday.

“And each sector that is involved in this particular combination of black swan events has really got to try and address its particular issues,” said Huxley.

… I’m afraid that this is actually going to end up translating into higher costs for consumers down the line and indeed shortages of some goods.

Tim Huxley

CEO, Mandarin Shipping

For one, the shipping industry is building more container fleet, he said. However, most of that new capacity won’t be ready until 2023 at the earliest — until then, a shortage of ships persists, Huxley added.

In addition, more investments in infrastructure like ports, roads and bridges are needed — but that, too, could take years to materialize, he said.

“All of these issues, they are here to stay for quite a while to come,” said the CEO.

“So I’m afraid that this is actually going to end up translating into higher costs for consumers down the line and indeed shortages of some goods,” he added.

Bottlenecks in global supply chains have threatened the supply of a whole range of goods, including food and beverages, consumer electronics and Christmas decorations.

Such constraints have contributed to higher inflation. Some economists have warned that inflation could stay higher for longer than expected.

The International Monetary Fund said last month that it largely concurred with assessments that current price increases will eventually ease, but noted there was “high uncertainty” around those forecasts due to inflationary risks in developed nations including the U.S. and the U.K.

The Fund said central banks should be prepared to tighten policy in case inflation gets out of control.

[ad_2]

Source link

  • Related Posts

    How to Keep Your Pool Clean and Safe with Professional Swimming Pool Maintenance in Dubai

    Owning a swimming pool in Dubai can be a luxury, but it also comes with responsibilities. A clean and safe pool ensures a healthy and enjoyable experience for you and…

    How SV Ambulance Service Ensures Fast and Reliable Emergency Transport in Panchkula and Mohali

    When an emergency strikes, having access to quick and dependable ambulance services can save lives. SV Ambulance Service is dedicated to providing top-notch care with advanced technology and skilled professionals,…

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    You Missed

    Buy GoPotent Çmimi – Përdorimi Dhe Efekte Anësore 2025 Cijena, Gdje kupiti, Sastav, Način uzimanja, Forum, Recenzije

    JAVA BURN – ((❌ WARNING! ❌)) – JAVA BURN REVIEW – JAVA BURN WEIGHT LOSS REVIEWS – JAVA BURN COFFEE ✓Official Website:

    Cardiotensive HU – normális vérnyomás az első használattól kezdve

    Cardiotensive HU – normális vérnyomás az első használattól kezdve

    Matcha Suri Green Tea Supplements || Buy Matcha Green Tea Near Me