How to tackle container shipping black swan events in 2022
December 29, 2021: Reliability and developing a good relationship with carriers, viewing it as a strategic partnership rather than a game that can be won by securing the lowest price will insulate shippers from some of the risks and black swan events that 2022 doubtless holds in store, according to Xeneta.
"Stability and predictability can also be achieved by signing multi-year deals that few carriers are currently pushing for as it guarantees capacity. However, to avoid paying today’s rates after the market softens, these contracts must include some adjustment mechanism to reflect future market conditions," the update added.
So, what happened in 2021?
Actual ship capacity would have managed the demand if the conditions on land remained stable. "Compared to 2019, rather than pandemic-affected 2020, volumes in the first ten months of the year grew by 5.5 percent. On the other side of the supply/demand balance, the capacity of the container ship fleet grew by 7.4 percent in the same period.
