Companies shipping to the Gulf and East coasts should experience less difficulty going through the Panama Canal, with the drought affecting the canal appearing to be easing.
The Panama Canal Authority announced that following a downpour over the Gatun Lake, it was expected more shipping vessels would be received through the canal in the month to come. More ships will be permitted to pass through the canal, with authorities stating up to 32 ships should be able to pass through per day. This is up from 27 ships per day in March.
Photo: Dreamstime.com
At the same time, it is predicted totally normal operations should resume by 2025, should the weather permit this.
The canal provides an important trade route, with around 6% of all global maritime trade passing through it.
The drought caused carriers to move many of their ships through alternative routes, such as the Suez Canal. Global events and conflicts, such as those impacting the Red Sea, have further impacted trade routes. These events have caused ocean rates to spike.
These rates are still elevated, and it seems they are unlikely to fall meaningfully in the near future if conflict situations continue, according to the report.
Source: www.furnituretoday.com