DUBAI (Businesshala) – Dubai ports giant DP World sees no sooner end to the disruption in global supply chains that have delayed ports and logistics hubs around the world, its chairman said on Friday.
Disruptions resulting from pandemic lockdowns and an unexpectedly rapid recovery in demand have also led to shipping container shortages and skyrocketing freight rates.
“I really don’t think it’s going to be resolved this year, DP World’s Sultan Ahmed bin Sulayem told Businesshala on the opening day of the expo in Dubai, itself delayed a year by the pandemic.
He said he could not predict when the disruption would end, but he was hoping for success sometime next year.
Bin Sulayem said, “I don’t see it going away anytime soon, but… I think it will end as soon as most people are vaccinated.”
Supply chain disruptions have increased as ships wait for days to enter some ports, such as Southern California, where a record number of ships have waited ashore.
Bin Sulayem said DP World was dealing with delays, but that its ports had enough capacity and people were not facing traffic jams.
“All our ports have enough capacity … we have no problem,” he said, adding that DP World was not increasing rates despite strong demand for maritime transport.
State-owned DP World, one of the world’s largest port operators with more than 90 terminals across six continents, saw a 17.6% increase in shipping container volumes in the second quarter.
Bin Sulayem also said that the company saw investment opportunities in Africa and Latin America, two markets he said were performing well.