Another report from Lloyd’s List on the global supply chain difficulties says retailers expect the container shipping challenges to continue into next year. The report notes that retailers are chartering their own ships in an attempt to avoid delay but that has added to the congestion.
At Reed Smith, we continue to see the effects of this with hugely inflated claim values compared to pre-pandemic and with numerous clients revisiting their logistics arrangements.
Where it seems these issues are likely to extend well into 2022, those involved in the supply chain should ensure appropriate provisions are included in contracts wherever possible to safeguard them. And they should also bear in mind that losses due to vessel delay are now amplified by higher hire and freight rates.