Late supply, low demand deal a blow to containerised trade
WAREHOUSING & LOGISTICS

Late supply, low demand deal a blow to containerised trade

Global container logistics major Maersk recently said that Indian containerised trade suffered a severe blowback this year owing to staggered supply and demand setbacks across the region along with other challenging indicators.

Overall recovery in imports and exports is expected in the first half of the next year, said the report. While imports remained subdued, with indications of slow recovery coming in by the end of next year, Maersk reported a strong rebound in exports based on the rising demand for textiles and apparel.

Maersk also added that the Covid-19 pandemic brought light to the importance of trade on a global scale and the interdependence of nations. This highlights the importance of the logistics sector to continue the delivery for critical supplies to promote economic recovery.

India's containerised sector has been impacted severely because of the low supply and lesser demand for goods combined with challenging economic indicators in the second and third quarters of 2020.

Between July and September this year, Indian containerised trade decreased to 8% in comparison to last year. However, compared to Q2, 31% of the trade has witnessed recovery, Maresk stated. 

The export industry grew to 14% over the Q3 in 2020. These were higher than 47% than Q2 in 2020. However, the import was 28% lower than Q3 of 2019.

Patterns in retail behaviours are reshaping the supply chain trends. This focuses on risk mitigation and resilience-building while dealing with threats of growing trade protectionism.

The government's initiatives to attract investments focus on developing port and landside infrastructure, lower labour costs, technology automation and adoption, and the availability of raw materials are factors that favour this development.

The company has said that there has been a rise in the export industry demand for Indian textiles and apparel, especially to the North American markets.

Maersk had mentioned that the other commodities that witnessed growth in exports include tile, stone and glass to the north European region, and seeds, beans, cereal and flour to the Middle East and Mediterranean countries.

Since the last quarter, the imports of commodities such as paper, metal, appliances and kitchenware have increased compared to the same period last year.

Image Source

Global container logistics major Maersk recently said that Indian containerised trade suffered a severe blowback this year owing to staggered supply and demand setbacks across the region along with other challenging indicators. Overall recovery in imports and exports is expected in the first half of the next year, said the report. While imports remained subdued, with indications of slow recovery coming in by the end of next year, Maersk reported a strong rebound in exports based on the rising demand for textiles and apparel. Maersk also added that the Covid-19 pandemic brought light to the importance of trade on a global scale and the interdependence of nations. This highlights the importance of the logistics sector to continue the delivery for critical supplies to promote economic recovery. India's containerised sector has been impacted severely because of the low supply and lesser demand for goods combined with challenging economic indicators in the second and third quarters of 2020. Between July and September this year, Indian containerised trade decreased to 8% in comparison to last year. However, compared to Q2, 31% of the trade has witnessed recovery, Maresk stated.  The export industry grew to 14% over the Q3 in 2020. These were higher than 47% than Q2 in 2020. However, the import was 28% lower than Q3 of 2019. Patterns in retail behaviours are reshaping the supply chain trends. This focuses on risk mitigation and resilience-building while dealing with threats of growing trade protectionism. The government's initiatives to attract investments focus on developing port and landside infrastructure, lower labour costs, technology automation and adoption, and the availability of raw materials are factors that favour this development. The company has said that there has been a rise in the export industry demand for Indian textiles and apparel, especially to the North American markets. Maersk had mentioned that the other commodities that witnessed growth in exports include tile, stone and glass to the north European region, and seeds, beans, cereal and flour to the Middle East and Mediterranean countries. Since the last quarter, the imports of commodities such as paper, metal, appliances and kitchenware have increased compared to the same period last year. Image Source

Next Story
Infrastructure Urban

USA Mortgage Rates Reach 6.95%

In July 2024, the average mortgage rate in the USA rose to 6.95%, marking a significant increase and impacting homebuyers nationwide. This upward trend in mortgage rates is attributed to several economic factors, including inflationary pressures, shifts in the Federal Reserve?s monetary policy, and broader market dynamics. The rise in mortgage rates presents challenges for potential homebuyers, making borrowing more expensive and potentially slowing down the housing market. Higher rates can lead to increased monthly payments for homeowners, reducing affordability and potentially deterring new ..

Next Story
Real Estate

Toronto Home Sales Increase 4.2%

In June 2024, home sales in Toronto experienced a notable rise, increasing by 4.2% compared to the previous month. This growth highlights a positive trend in the Toronto real estate market, indicating robust buyer activity and a favorable environment for sellers. Several factors contribute to this uptick, including attractive mortgage rates, strong demand for housing, and a stable economic backdrop. The Toronto Regional Real Estate Board (TRREB) reported this increase, pointing to heightened buyer confidence and competitive market conditions. Despite rising interest rates in other parts of Nor..

Next Story
Real Estate

New Zealand Boosts Home Construction

New Zealand is set to implement regulatory changes aimed at boosting home construction to address the nation's housing shortage. The government plans to streamline building consent processes, reduce construction costs, and increase the supply of affordable housing. This initiative is part of a broader strategy to make housing more accessible and alleviate the pressure on the housing market. Key elements of the regulatory overhaul include simplifying the approval process for new housing projects and reducing bureaucratic hurdles that often delay construction. By cutting red tape, the government..

Hi There!

Now get regular updates from CW Magazine on WhatsApp!

Click on link below, message us with a simple hi, and SAVE our number

You will have subscribed to our Construction News on Whatsapp! Enjoy

+91 81086 03000

Join us Telegram