Greetings,
We are starting to experience the next “bow wave” of issues stemming from COVID impacts around NZ Ports.
I have recently spoken with Ports of Auckland senior operations management and it appears delays and resulting additional costs relating to congestion may continue on into February next year.
A summary of what is happening:
- Online shopping during Lock down periods reached all-time highs. This not only meant an increase in overseas purchases, but a higher than usual consumption of on-shore retail stock
- This generated a pent up demand and high stock replenishment orders by importers (of everything) here.
- Now, we are seeing unprecedented cargo arrivals into NZ – all arriving container vessels are at capacity, container handling at port and at empties handling terminals are at capacity
- Vessels arriving are now experiencing delays for berthing up to 10 days (could extend to 14) and due to the cost of running a vessel (even at anchor) mean shipping lines are looking to recover costs
- “Congestion fees” are now being quickly introduced by shipping lines.
- Ports of Auckland are now operating 24/7, however, they have no managed to increase their staffing due to a lack of experienced stevedores available. This has meant reducing team sizes to increase shifts worked.
- Port staff are being subject to more rigorous COVID risk management, along with vessel crew changes – again, more delays
There was recently industrial action taken at Ports in Australia – this also contributed to vessel schedule delays. In some cases, ships arriving in Auckland are dropping ALL NZ cargo at Auckland and are leaving NZ in an effort to regain some of the lost time (and further clogs Ports of Auckland while cargo awaits trans-ship south).
Furthermore, Vessels that are arriving on time are now getting caught up with vessels arriving late due to their delays.
Looking forward…
Its expected there will be a shift back towards “normal” March/April 2021, but as more overseas suppliers reopen, particularly in Europe and heavily affected COVID markets, there will likely be another bow wave of products to address the shortage rapidly occurring in NZ. I am aware that many new vehicle marques are running out of stock, European tyre brand suppliers are almost out of stock on a number of brands, and there is no doubt many European sourced product vendors here eagerly waiting fresh stock to arrive….
I guess my message to all our customers is “be patient”. If you are buying and importing stock now – expect delays, and possible additional costs – these things are ‘normal’ at present and are out of our control.
That said, we will continue to provide the best service we can as always…
Thank You for your continuing support.