IAMTrusted member, DASA International Movers, has provided the latest situation related to the moving and relocation industry as of March 16.
In an update to IAM, Chief Executive Officer of DASA Craig Reilly has highlighted the changes to the situation in the Middle East in the last 48 hours:
Ocean and Air Freight
Global ocean freight shipping lines remain in contingency mode with cargo redirected to Red Sea and Arabian Sea hubs before onward movement by feeder vessel or land corridor.
Emergency freight and contingency surcharges are being introduced, with some as high as US$1,800 per 20 foot container and US$3,000 per 40 foot container. Operational disruptions at some hubs and recent security related incidents underline the fragility of these alternative nodes and the potential for further schedule disruption if additional ports are affected.
Air frieght across the region continues to act as a relief valve but capacity remains constrained. Asia to Middle East and Europe corridors are operating with limited space, and base tariffs combined with transit disruption and war risk surcharges, mean that rates remain well above pre-crisis levels. “Air freight remains viable for high value, time critical or essential shipments, but it cannot absorb the full volume displaced from sea transport,” said Reilly.
Land, Rail, Warehousing, and Relocation
DASA confimed that regional land and rail infrastructure has become the backbone of cargo distribution into Gulf Cooperation Council countries. In Saudi Arabia, landbridge routes are moving containers from Red Sea ports such as Jeddah and King Abdullah Port across the Kingdom toward Riyadh and the Eastern Province. This provides an alternative to high risk maritime routes. Across the UAE and neighbouring states, bonded trucking and rail services are linking east coast ports on the Gulf of Oman, including Fujairah, Sohar, and Khor Fakkan, with inland depots and consumption centres that would previously have been supplied through direct Gulf port calls.
Household Goods Transit Times
Sea freight lead times have extended by approximately three weeks compared with pre-crisis norms. Air freight is currently reserved for small survival shipments such as documents, essential personal items. and work equipment, while full household consignments are moving through rerouted sea and land combinations.
IAM will continue to update members on this volatile situation, impacting household goods moves. Members wishing to update news items affecting their country can email mark.oakeshott@iamovers.org.