• Published on 18 November 2021
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Logistical and supply chain challenges could add 1.5% to consumer inflation by 2023

 Although the COVID-19 pandemic’s impact on maritime trade last year was less severe than expected, the knock-on effects will be far reaching and could transform the sector, the UN trade and development body, UNCTAD, said in its latest report. UNCTAD’s Review of Maritime Transport 2021 warned that supply chain bottlenecks and spike in container freight rates could raise global import prices on an average of 11% and consumer prices by 1.5% by 2023. The report highlights that the pandemic-induced boom in demand for goods, combined with supply chain disruptions from congested ports and orders for new vessels despite capacity constraints have caused shipping rates to increase on about five times their average over the past decade.

Re-disseminated by The Asian Banker from United Nations Conference on Trade and Development