According to Christian Roeloffs, co-founder and CEO of Container xChange, Indian container logistics players should anticipate significant obstructions in port operations and restrictions on container movements due to Cyclone Biparjoy approaching the Gujarat coast. The disruptions extend beyond ports, as rail transportation in the affected areas is also severely impacted. This situation will likely result in delays and potential backlogs in cargo handling for container logistics companies.
The suspension of port operations, including major ports like Deendayal Port, Adani Ports’ Mundra Port, Tuna Port, APM Terminals Pipavav, and Adani Hazira Port, will directly impact container availability and operations. Mundra Port, which already faces a substantial buildup of containers due to diversions from APM Terminals’ Pipavav Port, may encounter additional difficulties in managing container flows once operations resume.
The cancellation of trains by the Western Railways further adds complexity and causes delays in the movement of goods, impeding overall logistics processes for the container shipping industry. Short-term challenges such as cargo handling delays, container movements, and potential disruptions in the supply chain are expected to be prominent.
The ripple effect of these closures is likely to persist for a considerable period, particularly as the industry approaches the peak shipping season. In the long term, the industry should anticipate the need for recovery measures to address congestion, optimize container flows, and restore overall stability in container shipping operations.
Due to the combination of suspended port and rail operations and potential disruptions in the container supply chain, congestion and delays in container movements are expected. Container availability will be adversely affected, exacerbating the strain on already stretched global container supply chains. Consequently, the industry should prepare for an increase in ocean shipping disruptions and delays in cargo delivery.