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Exporters have trouble shipping goods at season peak

Exporters are reporting difficulty in securing container space and are experiencing shipping delays of up to six weeks, according Export NZ, a division of Business NZ."This is not desirable for a country that is pinning its hopes on an export-led rec

NZPA
Wed, 17 Mar 2010

Exporters are reporting difficulty in securing container space and are experiencing shipping delays of up to six weeks, according Export NZ, a division of Business NZ.

"This is not desirable for a country that is pinning its hopes on an export-led recovery and not good for exporters' relationships with overseas customers," said Catherine Beard, executive director of Export NZ.

Export NZ attributes the delays to a reduction in global shipping capacity and a seasonal bulge in production of perishable goods. Small exporters are being particularly hard hit.

The problems are greatest in Hawke's Bay, Christchurch and Otago.

Shippers are also operating vessels at a slower speed to reduce costs.

"Some exporters are having problems getting container space despite having firm bookings," Ms Beard said.

"They are getting bumped at the last minute and their goods are not going a day or two later, but they are experiencing delays of a month to six weeks to get their products away."

There was always an issue during peak season, but it had increased because shipping companies had taken capacity out of the market to boost their profitability.

"Some shipping companies are also slow steaming to reduce cost. This slow steaming results in longer delivery times for exports, has shelf life implications and could require greater inventory levels."

NZPA
Wed, 17 Mar 2010
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Exporters have trouble shipping goods at season peak
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