Realignment in Global Supply Chains

Global supply chain disruption is changing cargo flows coming into Britain. Ports such as the Port of Liverpool are benefiting from a change in cargo flows as suppliers look for other ways to route cargoes and minimise disruptions. Major bottlenecks have formed across the globe due to a surge in demand for retail goods over the last year. These bottlenecks have a significant impact on the global supply chain, causing sizeable delays and product shortages.

In recent weeks top shipping lines have omitted some UK port calls, including Felixstowe in eastern England, and diverted cargo onboard bigger ships to European ports to be re-routed onto smaller vessels and “transshipped” back to Britain. “We are seeing the benefit of these cargoes being transshipped into Europe,” said Mark Whitworth, Chief Executive of Peel Ports, which operates the Port of Liverpool. Situated in the northwest of England. Liverpool’s deep-water port has become a hub for the north of the country, avoiding congestion at southern gateways and national driver shortages, which has cut the journey time for goods.

Congestion in southern ports has long been an issue as there has traditionally been a heavy reliance on the south to facilitate the UK supply chain. Currently, 95% of goods enter the country via the south, yet 60% of cargo is destined for the north.

The Port of Liverpool has been preparing for an increase in demand, developing the infrastructure required to meet the needs of the UK supply chain. Peel Ports have constructed a £400million, west coast facing deep-water container terminal at Liverpool 2, made Brexit contingencies for HGV trailers, developed new rail connections to major UK city hubs and overseen a heavy recruitment campaign to increase labour. The Port of Liverpool is one of the world’s leading ports with an exciting future ahead. Significant investment in infrastructure and technology means that the Port of Liverpool is at the cutting edge of the global logistics sector.