Ships and ports need to remain fully operational in order to maintain complete functionality of supply chains..
Governments and their relevant national authorities should therefore engage with appropriate stakeholders within their national shipping and ports sectors to discuss arrangements for the continued facilitation of international maritime trade, including port hinterland connections..
This is one of the recommendations of the IMO alongwith recommendations that seafarers be designated as “key workers providing essential services” during the COVID-19 pandemic allowing them exemptions from national travel or movement restrictions in order to facilitate their joining or leaving ships..
Is your country already following or about to follow this especially when you are under lockdown with COVID-19..?? Let’s take a quick survey shall we..??
COVID-19 the pandemic that came into the limelight in December 2019 has now spread to every country around the world. This has caused major economic and social disruptions with far reaching impacts on global supply chains..
One of the key issues is the impact COVID-19 is having on port calls and particularly, the issue of blank sailings..
Ocean Insights has released some key data on the effects of COVID-19 on global port calls alongwith a free tracker to monitor blank sailings..
Further to the various updates on COVID-19 with regards to South Africa, in a Presidential announcement on 23rd March, the President Mr.Cyril Ramaphosa announced a further series of measures to contain the spread of the virus..
This includes a 21 day lock down of the country starting from midnight of 26th March 2020.. The full announcement from the President is as below..
South Africa exports and imports of goods equivalent to the value of about 60% of its Gross Domestic Product (GDP).. This puts international trade front and center of South Africa’s economy..
The size of this trade indicates that South Africa is a very open economy.. While having an open economy is a good thing, it does expose the country to greater volatility as the economy is influenced by global events and economies to a large extent..
The robustness of this trade could however, suffer due to the current hot topic on everyone’s mind.. Corona Virus or COVID-19..
The burning question that everyone has is what impact will COVID-19 have on South Africa’s trade especially as all of the above 5 countries have been affected by the virus with China being the worst affected and others not far behind..
Andrew Pike, Head of Bowmans Ports, Logistics and Transport sector shares some useful information on COVID-19 from South Africa’s shipping perspective..
Rapid developments in the technological space has brought about several benefits globally to many industries..
The world of shipping is no different and in the last decade there has been several advancements in this area although some parts of the industry still remains fragmented and lacking standards in how the business is conducted..
Cyber technologies have become essential and critical not just to the operation and management of numerous systems and processes on board ships but also for the safety, security and protection of the ship, the crew, the cargo, and the marine environment..
These technologies have integrated IT (Information Technology) and OT (Operational Technology) on board ships through networking and connectivity to the internet..
The access, connectivity and networking of these systems has however led to cyber security threats and risks..
We previously reported that as part of MARPOL Annex VI regulation (IMO2020), the member states of the International Maritime Organisation adopted a complementary amendment which came into effect on the 1st of March 2020..
The “Carriage Ban” as it is called, prohibits the carriage of non-compliant HSFO (Heavy Sulphur Fuel Oil) for purposes of propulsion or operation on board a ship unless the ship has been fitted with an exhaust gas cleaning system – EGCS commonly known as scrubber..
As from this date it will be considered an offense for any ship to be carrying fuel that contains sulphur content higher than 0.5% for purposes of propulsion or operation, unless the ship has a scrubber..
In the previous article, we raised a question “Will the IMO, which remained steadfast in its implementation of the IMO2020 regulation from 1st Jan 2020 also remain steadfast with the implementation of the “Carriage Ban” come 1st March 2020..??”..
To the uninitiated (which included me at one stage), these industries are same or similar and it might come across that there is no difference between Maritime, Shipping, Freight, Logistics and Supply Chain ..
But once you are involved in the business or know about these businesses, you will very soon understand that these are very different industries with different workings, assets, architecture, requiring very different sets of qualifications, experience, expertise, knowledge and attitudes..
In this article I unpack the difference between Maritime, Shipping, Freight, Logistics and Supply Chain and how it is all connected..
Abandoned cargo could be quite stressful for shipping lines, shippers, port authorities and forwarders alike and is considered to be a big headache for everyone concerned..
When a cargo is abandoned it causes severe financial losses to all parties concerned – seller, buyer, shipping line, freight forwarder, transporters, banks, Government etc etc..
It could also cause a rift in business relationships between a shipping line and their customer – whether it is an importer or a freight forwarder because it could create a blemish in the customer’s record with the shipping line..
When is a cargo considered to be Abandoned Cargo..??
As we have seen and read, the digital advances in the shipping and freight industry has given rise to the “digital shipping line“ with several shipping lines providing several digital services to customers either on their own or through digital alliances or associations such as TradeLens and Digital Container Shipping Association (DCSA)..
In line with this, Evergreen Line became the latest shipping line to provide digital services to its clients, fulfilling its mission to provide the most optimized service to its customers..