House Transportation hears testimony about delivery delays
Problems at West Coast ports limit export potential for pork and other products, according to testimony given today at a House Transportation Marine Transportation and Coast Guard Subcommittee hearing titled Impacts of Shipping Container Shortages, Delays, and Increased demand on the North American supply chain.
All U.S. ports are experiencing shipping delays, but the West Coast is the hardest hit as it ships product to Asia-Pacific destinations, said National Pork Producers Council president Jen Sorenson. The Asia-Pacific region is one of the main US pork markets, due to its cultural preference for pork and recent trade deals with China and Japan.
“Delays in shipping to the Asia-Pacific region increase costs and position the United States as an unreliable trading partner. Left unchecked, it could also negatively impact future trade deals with Southeast Asian trading partners as we seek better market access for US pork, ”Sorenson said. .
“To make matters worse, carriers fail to accurately notify exporters of the arrival / departure and loading times of goods, and then impose financial penalties on exporters for ‘missing’ those loading windows,” he said. she declared. These financial penalties, which are paid to the very carriers who cancel orders, have been deemed unreasonable by the Federal Maritime Commission. Ultimately, these additional costs are passed down the supply chain to the farmers. “
Among recommendations to alleviate port bottlenecks, Sorenson urged to extend hours of operation at U.S. ports and accelerated enforcement by the Federal Maritime Commission.