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Port congestion in Singapore – How to mitigate congestion?

How to Overcome the Port Congestion Challenges

Categories
General
Date
31.05.2024
By
Admin
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SINGAPORE - Port operator PSA Singapore is boosting its manpower and container handling capacity amid shipping delays caused by port congestion. PSA has reactivated older berths and yards at Keppel Terminal which were previously decanted, increasing the number of containers handled weekly from 770,000 twenty-foot equivalent units (TEUs) to 820,000 TEUs. Three new berths are also slated to start operations in Tuas Port later in 2024, said the Maritime and Port Authority of Singapore (MPA) in a May 30 statement. The Tuas Port currently has eight berths.

MPA said PSA has worked with container liners to adjust arrival schedules where possible to reduce vessel bunching. Container ships aside, other vessels that call at Singapore – which make up about two-thirds of all vessel arrivals – are not experiencing delays, said MPA. It added that there is also no crowding in the anchorages.

Resupply and bunkering activities, which take place within the anchorages, also remain unaffected. “MPA and PSA are working closely with container lines and regional feeders to update them on their berth availability and advising them on the arrival times to minimise delays in berthing,” said MPA.

Container shipping company CMA CGM is one of those omitting Singapore as a port of call. At least two of its vessels have done so on the grounds of “schedule recovery”, according to industry intelligence website Linerlytica.

By now, there should not be a forwarder or importer unaware of this “across the board” situation – do not plan, promise or expect ‘just in time’.

How do you deal with port congestion?

  • Preplan.

This should be the case under normal circumstances. But it’s especially true right now. The more you plan ahead, the better off you’ll be in the end.

  • Be Open to Other Port Locations.

We all know there’s more than one way to get from point A to point B. Sure, some are faster than others, but you still have options. But if taking the faster route means you’ll be sitting in traffic or hit that big road construction project, you’re probably going to go a different way.

  • Be Flexible to Other Modes of Transportation.

While there are equipment shortages across the international shipping spectrum, the biggest headache comes with shipping containers and chassis availability. Consider using roll/on-roll/off options, shipping using a mafi trailer or breakbulk shipping, or airfreight and multimodal transportation mode.

  • Be Aware of Other Factors with Your Shipment.

If you end up putting your cargo in a container and won’t be having it picked up right away, it’s important to know when your last “free day” is (you can get that information from your freight forwarder or the ocean carrier and terminal). After your free day expires, you’ll be charged for every day you leave the container in the port. In fact, we just had a client face $40,000 in port detention charges by leaving their container in a port too long.

  • Be Flexible with Schedules for your contract

While nothing will get you back to what international shipping was like two years ago, if you can manage to do some or all of the things above, you’ll be in a much better place than some of your counterparts.