Delays at transshipment ports have become a signficant and negative variable in supply chain processes. From certain origins, shippers and consignees have options to choose between direct or transshipment services but from many origins only transshipment options are available. The primary concern in supply chain planning is that shipping lines publish schedules, and forecast total transit times, based on a transshipment being effected on their next vessel to destination (usually assumed to be within 7 days). Reality is that congestion at transshipment hubs often results in lengthy delays (far more than that published when booking) and ultimately resulting in delays in arrival at final destimation.
For greater understanding when working through your own lead time planning and for consideration when selecting freight services where you have options, we have analysed all shipments managed through SCT (all incoterms) for the 2022 calender year and share this data below.
Not all transshipment ports have the same degree of congestion or delay but we provide below results from the top 5 by shipment count in our system. The worst two examples are Singapore and Las Palmas (the major transshipment hubs of the Far East and Europe / Meditteranean routes respectively) as noted in the graphics below.
Statistics for Ningbo and Algerciras, the second biggest transshipment ports in our system for the Far East and Europe/ meditteranean routes respectively, are provided below:
Not all transshipments carry the same degree of concern in terms of delays and congestions and a good example of this is Malaysian port of Tanjung Pelepas.
We trust this information and review is of value to you and would welcome specific interaction or review of your own data should this be required. Please do not hesitate to contact Gary Knight –gary.knight@sctsolutions.co.za for any further questions.