Supply chain solutions for uncertain times
As we move into 2023, after over two years of chaos, it pays to review current strategies and partnerships. The future of supply chain logistics and transportation is still very much up in the air with predictions showing the possibility of less ocean capacity, unstable fuel prices – both here in the USA as well as overseas – and the whispers of a possible recession.
Here at JAG-UFS, we look to all the future markers as to where the shipping industry is going and we are constantly tailoring our services to meet the current and future needs of our clients. There is no “one size fits all” in supply chain logistics. We look at all the needs of our shippers’ specific requirements and offer real choices and solutions for everything from imports, exports, domestic and cross-trade shipping.
The end of 2022 saw rates dropping and capacity improving. The chances are that will not be what we continue to see into 2023. Ocean lines are seeing a drop in containers and looking now to drop sailings off the schedules. Several carriers who had contracts to “vessel share” are not going to renew those contracts and that will also lessen capacity in the FCL Market. On the US side, ports are getting slowly better, but we still have a big shortage in the trucking industry and an ongoing driver shortage. Trucking costs are still high but have decreased slightly, we hope to see more of that in the coming months.
Air freight rates domestically are holding close to pre-pandemic rates, though fuel costs will likely affect those if we continue to see prices rise. International outbound rates are lower, though still higher than before but holding steady for now. Import air rates are still very high in comparison.
Now is a good time to review your needs for 2023. JAG-UFS is here to offer innovative and cost-effective solutions in this unstable market. We would like to invite you to request a quote, or a review of any projects you might be working on, to see how we can help. Industry-leading service is our number one goal, and one-on-one personal attention is how we reach it.