News / Shipping lines in financial trouble pose a risk to our supply chains, claim shippers

15/06/2016

Major shippers are calling on shipping lines to develop a greater range of services and claim carriers experiencing financial difficulties pose a huge risk to their supply chains.

Rolf Niese, until recently head of logistics operations at British American Tobacco, told delegates at the TOC Container Supply Chain event that many shippers ...

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Gunther Ginckels
June 15, 2016 at 2:45 pm
Is this not self-inflicted exposure? After squeezing the juice from an orange the taste becomes bitter. 3PL and logistics SVPs have focused on increasing their operating margins by consolidating their purchase power leaving little room for the Transport Industry to invest and obtain a reasonable return on investment. Not seldom supported by equity owners with no affection to the industry claiming extensive returns. Obviously some carriers have overacted on their capacity expansion, however again under market pressure of their customers, forced to focus on economy of scale only. Bottomline… everybody has butter on their head. (Egg on their faces)

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