April 23, 2020

The impacts of the Covid-19 virus are wide-ranging and relentless on supply chains. As at date, 211 countries and territories have reported cases of infections.

Every continent is affected – except Antartica. According to the Johns Hopkins University dashboard, the US is now having more cases, followed by Spain and Italy comes at the third position. In a report titled “The Coronavirus Shock” released by UNCTAD, the global economy could lose $2 trillion dollars, considering the impact on these economies during the present pandemic.

The publication also earmarks that the crisis could be more long-lasting as a result of disruptions to the supply side through crippled production. 

As our team continues to engage with our customers in all territories for innovative supply chain solutions during these difficult times, please find below an update of the situation in some of the countries where we are present:

Mauritius

As per a communiqué issued by the Cargo Handling Corporation Ltd., all stakeholders have been informed that further to the previous announcement dated April 02, 2020, stating that a refund mechanism was put in place for storage charges accrued, a new methodology is now being put in place.

Hence, storage charges accrued on full import containers for the period March 20, 2020 up to May 04, 2020 will not be computed, thus not payable (instead of refund request following payment). The storage charges accrued on vehicles will be given the same consideration.

Based on our previous announcements, two flights are scheduled for tomorrow, April 24, 2020 – Alitalia (FCO-MRU-FCO) and Air Seychelles (SEZ-MRU-SEZ). While the Alitalia flight has connection possibilities to other European destinations, the Air Seychelles flight will have transhipment flows to JNB, DXB and BOM.

France

With the activities of giants like Amazon being suspended in France since April 14, 2020, resulting in in opportunities for some of our customers – who are traditional “stores holders” retailers, primarily those in the fashion industry. 

Our team in France is mobilized in assisting our customers to adapt their business model since the first week of lockdown – helping to ensure that the supply chain is engineered while their electronic commerce orders are growing by more than six times during this period.

While the longevity of this opportunity is unpredictable for the moment, we continue to ensure that goods are delivered to our customers on an agreed regular schedule.

India

To get specific updates on the various regions in India, read the Velogic India Customer Advisory by clicking here.

Kenya

It has been reported that 24 staff members at the Kenya Ports Authority have been tested positive for Coronavirus infection, resulting in drastic changes in operations.

Moreover, our team has been facing much challenges in and around ICD since the start of this week, including Gate A closure, Maasai Road closure, KWATOS systems problems, very slow empties offloading to mention a few.

This situation has resulted into a massive backlog of containers which has built up since the end of last week – a scenario which has never happened before.

Furthermore, as at date, there has been no announcement as regards to the storage and detention charges in these unprecedented times.

Our skeleton team is endeavouring to the maximum so that containers can be released and delivered within the best possible timeframe, considering the dusk to dawn curfew.

Reunion

Based on the various discussions with Air Austral, the UPS team in Reunion Island had secured guaranteed space on all the various scheduled inbound Air Austral flights. 

It is to be noted that Air Austral is specially operating a higher capacity flight on the Paris-Reunion route in view of ensuring that more airfreight space is available.

This has allowed for the backlog of shipments, presently hubbed in Europe, to be released for transit up to the final destination, being Reunion. The deliveries will be eventually planned for customers who are able to acknowledge shipments during this period.

Bangladesh

A Gazette notification was issued by the Public Administration Ministry this Thursday to confirm the closure extension until May 05, 2020. The same document also mentioned that various services will be out of the purview of the closure.

Earlier, the government closed all the academic institutions apart from shutting down rail, road, river and air communications to prevent the spread of the highly contagious virus.

The government and readymade garment (RMG) factory owners have started working jointly on how to reopen the units phase by phase. Top government officials and the factory owners discussed zone-wise reopening of factories in a meeting held at the Prime Minister’s Office yesterday.

However, no specific date for reopening the units has been set in the meeting. 

Chittagong seaport is operational – with the waiting time for berth reaching 15 days on average. It has been shared that 38 container vessels are waiting for berth at outer anchorage. CFS’s are operational – but with reduced workforce until 06:00 pm daily.