Unlike other areas in the logistics space, project cargo is affected positively and negatively by developments on an international level.
This is according to Shreen Madray, operations supervisor of Turners Shipping’s project freight team.
“Naturally, geopolitical conditions are beyond our control; our job is to find solutions to the problems when they occur and make the most of opportunities when they are presented.“
"We are currently in a situation where shipping rates are inf lated as a result of the security problems in the Red Sea,” says Madray.
With reduced sailings and vessels being rerouted, shipping lines are reluctant to handle any non-standard or out-of-gauge (OOG) cargo, and the industry has seen rates for flat racks increasing up to three times the usual rates in recent months.
“These additional costs have led clients to defer shipments, when possible, until the situation normalises, and prices return to what they were before.”
In the meantime, project cargo managers are looking for alternatives and are using breakbulk carriers and ro-ro carriers to move OOG cargo.
- Read the full article in our Freight Features edition on "Project Cargo."
