Logistics problem
Empty shelves at Christmas time? Supply bottlenecks threaten retail
Many container ships have to accept long waiting times in the ports
© Ajith Perera / Picture Alliance
Advent calendars, gingerbread and stollen are already available in supermarkets. But the inedible Christmas gifts could now be at risk from global delivery bottlenecks.
After the retail sector had already suffered a lot from the consequences of the corona pandemic, the next crisis is now threatening it. Because the Christmas business, which is so important for many retailers and chains, seems to be in danger due to numerous delivery bottlenecks. One of the reasons for this is that the supply chains between the European North Sea ports and the hinterland are threatening to break down.
Domino effect trigger for delivery bottlenecks
The likely delivery bottlenecks were largely triggered by two events. On the one hand, the drama about the container ship “Ever Given”, which ran aground in the Suez Canal in March 2021, is to blame. Since the ship could not be moved for six days, around 400 ships had to wait until they could finally pass the important shipping route between Europe and Asia. Another crucial event was the closure of the Chinese port of Yantian due to the corona crisis. Even in front of the fourth largest container port in the world, a number of ships jammed and could not enter the port.
End users also affected
One problem here is barely available shipping containers, which, moreover, can only be booked by German companies at disproportionately high prices. As the “Tagesschau” reports, the price of a container has increased tenfold compared to 2019. In addition, container ships often have to accept long waiting times in ports, which leads to increased port fees. These price increases will now also have a noticeable impact on the retail sector. As a result, end consumers would have to reckon with a price increase of up to 15 percent for Christmas items this year – if they even make it onto the shelves.
Delays cause problems for companies
The limited sales period for seasonal products such as advent calendars or decorative items is a major problem for retailers. If their goods are not delivered on time, the offer period is dramatically reduced. Florian Lipp, authorized signatory of the toy company Craze, told “Tagesschau” about this year’s Advent calendar business: “We currently have time delays of up to three weeks, and that is particularly nerve-wracking with such a seasonal product.”
Trade association sees no cause for concern
Stefan Genth, General Manager of the German Trade Association, sees “the search for suitable Christmas gifts this year as well”. He thinks it is unlikely that people will have to stand in front of empty shelves at Christmas time. Only new releases and new models of particularly popular products could become scarce, says Genth. If you want to be on the safe side, you should try to get popular gifts early on.
sources: “Daily News”, “Mercury”