CHAIRMAN’S MESSAGE

As we turn back and look at another eventful year, there have been ups and there have been downs. But we have been able to ride over the waves. The sky-high freight rates, driven by increasing consumption and port congestions have been a deterrent to our services. However for Team CSS, 2021 has been a year of several important milestones.

Resilience in Crises

Despite the pandemic raging on in several parts of the world, it was business as usual at CSS. We have been able to provide logistical support for various critical shipments like the oxygen supply when India was reeling under the second wave of the COVID-19 pandemic to helicopter shipments to South America. Despite the economic slowdown brought on by the pandemic, CSS has spread its wings to open a new branch in Ras Al Khaimah to provide logistics support to the burgeoning markets of the Northern Emirates of the UAE. We have also resumed service offering for Fine Art shipments as Dubai grows into a hub for fine art exhibits.

Expo 2020 – Ushering in a New Era

With Expo 2020 opening its doors in October of this year, Dubai has been playing host to the nations of the world. Delayed by a year due to the COVID-19 pandemic, the event has serendipitously coincided with the golden jubilee of the founding of the nation of the UAE. UAE came into being as an independent nation in the year 1971. President His Highness Sheikh Khalifa Bin Zayed Al Nahyan has termed 2021 as ‘The Year 50’ as the UAE celebrates its Golden Jubilee milestone.

Expo 2020 will usher in an era of change and spark innovation as it forges new alliances and inspire path-breaking discoveries across industries. With its focus on Opportunity, Mobility and Sustainability as interconnected drivers of progress, I believe that this great event will set the pace as the world emerges out of the pandemic. For the first time, each of the 192 participating nations has its own pavilion. May new ideas spring up, spurred on by fresh new perspectives as we march on ahead into a whole new world that’s more inclusive yet diverse.

Expo 2020 will leave a lasting impact on the business landmark of the nation, revamping it alongside global proportions. Let’s leverage the far-reaching benefits of Expo 2020 and be a trailblazing leader pioneering sustainable growth and progress for the company and the nation of UAE. As businesses rebound, the year ahead is indeed promising. I expect business to pick up as forecasts predict an increase in economic activity worldwide.

As we close this year, I want to express my sincere gratitude to our network partners for their unstinting support. I also want to thank our valuable customers, bankers, and business associates who have been the wind beneath our wings. And I want to personally thank every member of Team CSS. It’s your tireless contribution that has spurred our growth for the last 25 years and will continue to lead us to expansion and prosperity in the year ahead

 

CSS FORAYS INTO FINE ART LOGISTICS

CSS has added another feather to its glorious cap by completing a Fine Art export for a prestigious client. These high valued paintings needed to be moved from UAE to its destination in the USA. We were successful in achieving this complex shipment which involved several intricate details being looked into.

Fine Art shipments require thorough pre-planning so that it is executed without any issues from start to finish. Since the shipment was delicate and high-priced, CSS facilitated a seamless process till door delivery in the USA.

There were four pieces of very expensive paintings done by one of the most renowned international artists of Dubai who wished to ship for one of their buyers in the USA. The timeline was tight with plenty to do right from gathering the packing materials, arranging soft-packing, erecting the paintings, ensuring wood treatment is done to avoid any bending etc. Post packing, a sensitive movement was required with escorts from CSS warehouse to Airport. Being an unusually large packed crate it could only be carried by cargo freighter. Thereafter liaison with airline ground staff was carried out to ensure the crate is boarded on time to its destination. In the last-mile we performed the customs clearance in USA, valuation by customs, survey of the crate condition, pick this valuable Art-Crate to deliver and unpack to shelf to the new proud owner’s gallery.

Big Thanks to the splendid job done right from the sales person to identify the prospect, the Operations team to carry out the job with precision and deliver on time at destination.

Dubai – A Hub for Fine Art

Dubai’s cosmopolitan culture attracts both artists and art lovers, a gateway for the east and the west. With many galleries, exhibitions and museums always open, the art scene in Dubai is a burgeoning one. The city’s vibrant art scene has established Dubai as a cultural centre for the global arts community. Dubai’s art connoisseurs and ongoing fine art exhibitions aplenty. Therefore, there is a continuous need for the movement and handling of multi-million-dollar arts.

Fine Art Logistics – Proud to be included in the CSS portfolio

CSS offers specialized fine art logistics services to museums, institutions, galleries, auction houses, and private collectors. We understand that moving art is different as compared to our regular logistics services. Fine Art Logistics calls for specialized packing and unpacking, and installation. It has to be handled with utmost care and precision from start to installation. Our art logistics experts have been specially trained to handle priceless pieces with care and commitment to ensure safety during the entire shipment process.

Portfolio of services offered by CSS Fine Art Logistics

  • Soft packaging, palletizing, and made to order crating as per the client’s need.
  • Humidity and temperature-controlled storage with individual lock facilities.
  • Specially equipped trucking to insure safe and secure movements.
  • Global transportation by air/sea/land with complete documentation for all purposes.
  • Art insurance for door-to-door services.
  • Comprehensive Fine Art installation services in residential, commercial, public spaces, hotels, and exhibitions.

Our Audience:

  • Artists (paintings containing acrylics, oils, tempera, water colour & mixmedia)
  • Sculptors
  • Fine Art Collectors
  • Fine Art for museums and galleries
  • Complete project Handling for Fine art auctions, events, and exhibitions

 

TALENT WINS GAMES, BUT TEAMWORK AND INTELLIGENCE WINS CHAMPIONSHIPS

With IPL fever in the air, cricket seems to be ruling the roost everywhere. And when employees are in a cricket frenzy, can corporates be far behind? CSS Play Club comfortably sealed yet another championship by winning the finals against Dubai Tellicherians.

It was a classy batting display by our one and only star player, Rowhmas, who was also adjudged as the Man of the Match for the Finals. Seventy-nine runs in a quick span ensured CSS had a good start. This was followed by firecracker innings by our captain, Riyas. Other teammates like Shahir, Shajil, and Shibith also pitched in with their innings, helping CSS Play Club register an impressive total score of 228 runs.

All of our bowlers did a decent job by taking wickets at regular intervals to restrict the opponents to the score of 150 runs. Prashob PK was awarded the best bowler of the finals with three quickies, well supported by Ranjith Haridas with two key wickets.

Kudos to Shajil Balan, Reji Mohan, Prashob PK, Mohammed Rowmahs, and Mohammed Shahir for their contribution throughout the tournament.

At CSS, we are passionate about cricket. We believe that it helps with team building as we encourage our employees to continue with their passion for the gentleman’s game.

The Chairman, Mr. Kaladharan, emphasized, “As our employees represent the company in corporate tournaments, it makes winning these tournaments immensely satisfying.”

EMPLOYEES OF THE MONTH


JAYANDAN –Team Leader, CFS,
CSLC awarded by Manish Kumar,
Manager Operations-NVOCC & CFS

 

 


CHUCHU VISWANATH –Operation
Executive, Forwarding, Jebel Ali
awarded by Chandrakala(CK),
COO, NVOCC, CSS Group

 

 


MUHAMMED JINSHID –Import
Operation, NVOCC
awarded by Manish Kumar,
Manager Operations-NVOCC & CFS

 

 

 

 

CSS CELEBRATES OUR PEOPLE AND OUR TRIUMPH OVER THE ODDS THAT FACED US LAST YEAR

CSS celebrated its people, the very strength of the company, with a grand office party at Fortune Hotel, Dubai on 8th October 2021 at Fortune Plaza hotel. The night of festivities was marked with joyous celebrations and a fantastic display of the talent of Team CSS. The special night was also significant as we honored the people of CSS for their tireless hard work and dedication during the tough seasons.

CSS has always has displayed strength in the face of battles, and we have managed to emerge resilient and even stronger post the pandemic. Our Chairman, TS Kaladharan, spoke at the gathering, emphasizing, “At CSS, we believe in a culture of camaraderie and a celebration of every individual that makes Team CSS. It’s your commitment and perseverance that has brought us this far and will continue to propel our growth story”.

As we emerged out of the pandemic’s restrictions, we wanted to bring everyone together across operational teams to connect and find commonalities outside of work we would not have done otherwise.

ABU DHABI PORTS INK AGREEMENT WITH CMA CGM GROUP TO INVEST AED570 MILLION FOR THE NEW TERMINAL

The new Khalifa terminal will be the first semi-automated container port in the GCC region. Abu Dhabi Ports Group and Francebased CMA CGM Group, a world leader in shipping and logistics, announced on Thursday the signing of a 35-year concession agreement that involves an investment of AED570 million in the new terminal at Khalifa Port. A new terminal will be established in Khalifa Port, the first semi-automated container port in the GCC region. The terminal will be managed by a joint venture owned by CMA CGM’s subsidiary CMA Terminals (with a 70 percent stake) and AD Ports Group (30 percent stake). The partners are expected to commit approximately Dh570 million to the project, AD Ports Group said.

A new regional trading hub

With construction starting in 2021, the new terminal is set to be handed over in 2024. In phase 1, an initial quay length of 800 meters and an estimated annual capacity of 1.8 million TEUs. AD Ports Group will be responsible for developing a wide range of supporting marine works and infrastructure. This includes up to a total of 1,200 meters of quay wall, a 3,800-metre breakwater, a fully builtout rail platform, and a 700,000 sqm terminal yard, it said.

The terminal will provide CMA CGM with a new regional hub. It will enable the Group to develop its service offering between Abu Dhabi and South Asia, Western Asia, East Africa, Europe, and the Mediterranean, and the Middle East and the Indian sub-continent.

Rodolphe Saadé, chairman and chief executive officer of the CMA CGM Group, said the new project marks an important milestone in CMA CGM’s development strategy in the region.

This state-of-the-art terminal will contribute to enhancing Khalifa Port’s position as a leading global hub and to boosting the region’s economy, accelerating trade flows in and out of Abu Dhabi.”

Building up the nation’s economy

Abu Dhabi and UAE, in general, have seen increased economic activity thanks to their stable economic environment. This is the reason that has contributed significantly to the economic growth of Abu Dhabi and the UAE and made it a viable destination for foreign investment.

The CMA CGM Group- Abu Dhabi Ports agreement is another milestone in the country to significantly accelerate trade and the development of industry in the UAE and beyond. Falah Mohammed Al Ahbabi, chairman of AD Ports Group, said the UAE has become a key investment destination among many of the world’s leading players seeking to extend their reach into the Middle East.

Al Ahbabi said the agreement would aid the Group to realize its long-term ambitions to become a top 10 ports, industrial, and logistics operator by expanding our capacity and growth across the region and beyond. The project will be completed over five years. It will further develop the Khalifa Industrial Zone Abu Dhabi (KIZAD), which will make a significant on the GDP of UAE. With this development, Khalifa port will become a hub for three of the world’s top four shipping companies. It will open up trade routes to new markets in Europe, Africa, Western Asia, and South Asia.

Captain Mohamed Juma Al Shamisi, group CEO, AD Ports Group, said the addition of a new container terminal at Khalifa Port opens a new chapter in the organization’s efforts to become a key facilitator of global trade.

At home, we expect the presence of the shipping line terminal, which will link directly to Khalifa Port’s upcoming rail terminal and utilise its services, to accelerate trade flows moving in and out of the UAE, while also encouraging CMA CGM Group’s customers to consider establishing a presence in Abu Dhabi” said Al Shamisi.

WHAT ARE THE REAL REASONS BEHIND THE RISING FREIGHT RATES?

In a recently organized webinar by the HSBC group, Brian Hay, the Chief Executive of the Cardinal Group from the UK spoke about the real reasons behind the rising freight rates worldwide. He said that while the coronavirus pandemic continues to disrupt the natural rhythms of global container freight, he expects demand for consumer products to drive the industry forward. He emphasized, “The ships are full, and freight rates are high, not just because of demand, but also the fact that equipment has been displaced as a result of COVID-19.”

Brian Hay revealed that freight rates have risen from USD2000/40’ high cube container to today’s market rate of USD20,000.00. There are several real challenges, but he expects freight rates to improve towards mid-2022 till 2023. With the capacity growing year on year, this could bring down freight rates as it eases the demand for space on shipping vessels.

Real Reasons for the Sky High Rates

He threw light on the four key areas for this pricing behavior, influencing the dramatic rise in freight container prices:

1. Reduced velocity in the usage of equipment

2. Consumer behavior and the surging demand for space

3. Port closures and congestion

4. Shipping line behavior

It is also to be noted that the pandemic has fueled all these factors.

Usage of Equipment

From relatively small to larger vessels of 22,000 TEUS, about 5.5 K container ships are in operation now around the globe. Shipping lines have been painted as the bad guys, making hay while the sunshine. However, most shipping fleets are in full circulation, and the parking of ships is not driving the demand.

Shipping vessels are not available mainly due to the pandemic, interruptions in scheduling, and problems in the WHAT ARE THE REAL REASONS BEHIND THE RISING FREIGHT RATES? deployment of empty units. It is more of care of slower circulation rather than deployment of empty containers. For example, Hapag Llyod, one of the largest shipping companies in the world, needed 300,000 units to reach their pre-pandemic levels and fulfill pre-pandemic bonds. This requirement is not due to the rising consumption and demand for space in ships. However, it is just to manage their pre-agreed bonds.

According to Hay, the current situation is not driven due to equipment shortage but due to slow circulation, rescheduling, port congestion, and general in-availability of vessels.

The freight rates are expected to remain at record levels for a more extended period impacting the sector as it is susceptible to rate volatility, weak economic recovery, and trade protectionism. The Q42020 and Q12021 supply chain disruptions involved container box shortages and port congestion, resulting in frenzied container freight rates. Most shipments during the period are being booked at higher rates than recorded and add on priority load surcharges.

All freight and logistic companies worldwide face operational nightmares as they try to secure container space for their clients.

Brian Hay mentions that they are often fighting for equipment as they are reallocated elsewhere due to the slow circulation of the containers due to the pandemic. Typically a container is used in deep-sea service six times per year, and it could be even below 4 in 2021.

Consumer Behaviour and Demand for Space on Ships

The consumption resulting from the pandemic is phenomenal and will continue to remain so unless we switch our behavior from products to services. Since almost everyone worldwide has been cooped up at home, people have been on a buying spree to make their living and working spaces more comfortable. Most retailers are trading beyond their expectations. The freight liftings in the USA in Q4 of 2021 are 35% higher than in Q1 2020. The deployment has been more to the USA as the demand has been more.

Port Congestion

Port Congestion has been phenomenal in pandemic times and can be seen even from outer space. Currently, all ports, particularly in Asia, are saturated due to a strong rise in inactivity. Ports are also operating from lower productivity rates due to pandemic restrictions. For instance, the port of Liverpool is struggling to meet increased demands due to a severe lack of manpower. In China, Yantian port was closed due to a COVID outbreak. The sky-high freight rates are all a result of these contributing factors.

Shipping Line Behavior

Shipping liners made a combined profit of $16.2 B in the first three months of 2021. What is astounding is that all their Q1 earnings are more than they did in the same period of the previous ten years combined. Mr. Hays noted that their action destroys years of collaboration and loyalty and might be fuelled by profits. He also reiterated that logistics companies are working on their values of integrity and are not increasing the freight rate to take advantage of the situation.

How shipping lines used to sell out a vessel typically was long-term contracted rates, the large volume moves, named account deals, and the rest on the spot market. But the pandemic has reversed the ratios. Service agreements have been put aside, and most of the deals are on the spot market. It does not allow freight operators to operate the way they want to.

It is next to impossible to provide the right service in the current situation with no real prospects of rates easing in the near future. Usually, rates soften in July and August and go into a peak with the Christmas shipments. There might be a leveling by the end of the Chinese New Year, between Feb and March 2022.

With people moving to more experiential services rather than products, inflationary pressures due to rising prices may ease demand and decrease freight rates. Brian Hays pointed out that the rates will not return to the old levels of $1000-#2000 – for a container from Asia. He believes that being forewarned is being forearmed, and the figures can be pegged at $5000-$10,000 per container. Brian Hays is the CEO of Cardinal Global Logistics, the UK’s fastest growing logistics service provider with 22 offices worldwide and over 400 staff, with its head office located in Manchester. Cardinal provides integrated end-to-end supply chain solutions to businesses ranging from SMEs to large-scale multinational entities. Known for designing and implementing transformative supply chain solutions, Cardinal provides customized innovative approaches for each client.

THE PANDEMIC HAS ACCELERATED DIGITAL TRANSFORMATION IN LOGISTICS AND SUPPLY CHAIN SPHERES

Covid-19 has driven change across all industry sectors within a short period. According to a recent McKinsey report, six percent of global supply chain shutdown, while 85 percent faced a reduction in operations during the pandemic. This massive disruption of activities has largely driven digitalization. Logistics and supply chain management companies have adopted technology with organizationwide changes. Cutting-edge technologies like cloud, IoT, automation, Artificial Intelligence, and Machine Learning are ruling the roost as companies try to stay agile and on top of the game in these challenging times.

Five industry experts discussed these topics in detail in the Innovation in Logistics & Transportation Summit organized by the Logistics Middle East magazine. The Innovation in Transportation and Logistics Summit was held at the V Hotel Dubai. The Logistics Middle East Innovation & Transportation Summit brought together thought leaders and pioneers from the worlds of tech, logistics, transportation, and sustainability to explore how the industry can continuously innovate while optimizing the consumer experience and considering the environmental implications of these advancements. This panel discussion will also look at the changes, the winners in the adoption of automation space, and how technology, automation, and digitalization can revolutionize logistics and supply chains.

Panellists for this session are Praveen Sashi, Senior Director IT & Logistics, Head of Digitalisation MENA, from DHL; Fadi Amoudi, Founder & CEO, IQ Robotics; Gorka Sudupe Belloso, Director and Founder Member, SmartLOG Group; Jaideep Dhanoa, Co-Founder and CEO, FENIX; Mark Heald, Supply Chain Director, Logistics Executive.

With more than 100 industry leaders from across the MENA region, the summit was a success as it is brought multiple experts on the same platform.

The summit showed the learning from the past 18 months and how transformation and innovation are realigning the entire industry worldwide. The attendees were also looking ahead to the industry’s future, focusing on drones, digitization, and automation. Companies are readying for the future of the new digital era. The event also focused on the need for companies to drive sustainability and decarbonization forward. Karl Feilder, CEO, Founder, and Chairman of Neutral Fuels, pointed out that governments in the MENA region are specifying biofuels as part of their sustainability strategy, meaning that companies will have to embrace the decarbonization roadmap.

VIRTUAL ADMIRALTY CASE: SETS THE RECORD OF MANY FIRSTS IN ITS NAME

The last year 2020 accelerated the concept of “Work from Home” and helped to realize that even the Civil Court Proceedings can also be done virtually. With the pandemic, the Court proceedings had to switch completely to virtual hearings, without any Judges, Lawyers, or the Parties to the suit, being personally present in the courtroom. Many countries even introduced new regulations or rules to regulate remote hearing.

Amid all this chaos, the year 2020 also marked its first virtual admiralty case, and interestingly, its hearing took place by telephone due to the COVID crisis.

In the case, Qatar National Bank (QPSC) vs. The Owners of the Yacht “Force India” (No. 2) [2020] EWHC 719 (Admlty), the claimant bank had a mortgage over the Yacht following a default under an underlying loan agreement and even obtained a judgment for the sale of the Yacht in the Admiralty Court for the sums secured by the mortgages. Interestingly the unusual arrangement, in this case, was that the Mortgage was not in place to secure a loan taken out by the owner of the Yacht. Instead, the loan was taken out by a related company to finance a property purchase in the South of France. The Yacht was mortgaged as additional security concerning that property purchase. However, following the order made by the Admiralty Court for the sale of the Yacht, the claimant bank applied to the Court to have the order for sale set aside, on the final day for bids to be received. The Court declined this request instead gave some time to enable a hearing to take place, allowing the Court to consider the arguments of all the interested parties. The order was set aside on the basis that a third party had paid the sum secured by the Mortgage, and so the judicial sale of the vessel was no longer required. Where the sum secured by the Mortgage has in effect been paid by a third party, the judicial sale of the vessel was no longer required.

Under English Law, there are no specific rules as to how the sale should be organized. In most of the judicial sales, the Marshal invites the potential purchasers to send written tenders that usually include the bidder’s name, its agents, the bid validity period, and the person/company who submits the highest bid above the appraised value purchases the ship. After the highest bid has paid the purchase price into the Court, the person/ company shall sign the conditions of sale. Subsequently, the Marshall will deliver the ship and the documents along with its certificates to the new buyer. This being the normal procedure of “Judicial Sale of the Vessel,” the Court also emphasized that this setting aside of sale should certainly not become a practice because if it becomes a practice, then those willing to incur the time and expense involved in making a bid for a vessel ordered to be sold, might feel disinclined to do so and this might lead to Vessels being sold for a value less than that of its Market Value, which might tarnish the reputation of the Court.

Mr. Justice Teare concluded the judgment of the aforementioned case to be “Special and Perhaps Exceptional” as it was a rare incident where an independent third party would discharge the judgment debt and render the sale unnecessary. That is what happened in this case.

Though there are few instances where application being made to set aside a sale, the Marshall and his Agents, in relation to this case, has commented that in their 40 years of association with the Court for conducting judicial sale of vessels, they have never known such an application being made to halt a sale at such a late stage and the only reported instance appears to be almost sixty years old.

UAE – THE EVERRESILIENT NATION AND SAFE HUB

With sovereign wealth funds for investment in development and infrastructure projects, healthy financial reserves, and an ideal strategic location, the UAE has created a modern and diverse economy. The economic hub that the UAE boasts of today came into being in a short span of fifty years. In a brief period, UAE has managed to redefine its limits. The pandemic outbreak is the best parameter that revealed the country’s solid economy, growth, and adaptability to the global challenge.

Productive Inflow

Cumulative inward FDI growth stood at 44.2 percent from 2019. UAE ranked first in the Arab world and 15th globally in the Kearney FDI Confidence Index for foreign direct investment in 2021. The UAE ranks first in the West Asia region, receiving 54.4 percent of total FDI inflows amounting to $36.5 billion and first in the MENA region with 40.2 percent of the total FDI inflows amounting to $49.4 billion. In a staggeringly short time, it has managed to redefine its limits.

Remarkable Infrastructure

The desire to extend the nation’s horizons, push forward, and have a favorable business environment along with the updated procedures to meet global standards keeps up the capital inflows. UAE exhibits a model environment for investment and entrepreneurship. UAE stands a class apart as a worldwide magnet for capital and talent. The country aims to excel in the following fields in the immediate future: artificial intelligence, the Internet of Things, Blockchain, Innovative Medical Technologies, highspeed transportation, augmented virtual reality, robotics, self-driving cars, and renewable energy. Having ranked second globally in the Resilience to Epidemics 2021 index issued by the Consumer choice center during the Covid scenario, UAE owes it mainly to the prompt action taken in handling the situation by strict sanitation, lockdown, and social distancing measures. During the pandemic, the Central Bank’s support was equally crucial contributing AED 100 billion and a range of support packages to the economy. In 2022, the growth chart is set to hit 3.5 percent growth in real GDP and 3.9 percent growth in real non-oil GDP.

Regulatory Environment

UAE is cited as one of the most advanced countries globally in creating a regulatory environment that protects the investor and supports commercial activity providing a flexible and competitive legislative and procedural umbrella that helps stimulate foreign investment and ensures business stability. Home to several businesses, including free zones, the total trade of goods for free zones rose to AED 658.9 billion in 2019, signifying an 11 percent increase compared to the previous year. Being a nation built on trade and with a logistics infrastructure connecting to more than 250 cities worldwide with shipping routes to more than 400 cities, the UAE is the most efficient and most geographically broad in the region.

Planning for the Future

The Emirates Energy Strategy 2050 is set to meet a mix of renewable and clean energy sources to balance economic needs and environmental goals. UAE will invest AED 600 billion until 2050 to ensure that the demand for energy and sustainable growth in the country’s economy is met. Its priority in the next 50 years is to accelerate economic development, encourage small and medium-sized enterprises, and instil an entrepreneurship culture. This comprehensive economic and developmental program will focus on developing a knowledge economy, fostering innovation, establishing strong bilateral relations with international partners, and upgrading the legal frameworks to attract investment, ideas, entrepreneurs, and highly skilled candidates from around the world.

Competitive Costs

AED 58 Billion is the allocated UAE 2021 budget to instigate the much talked about program “Projects of the 50”. The World Competitiveness Yearbook 2020 Report ranked UAE first in the list of countries with the best electronic infrastructure globally and 31st for quality of digital life in 2020. The UAE is a member of the World Trade Organization (WTO) and the Greater Arab Free Trade Area and has free trade agreements with the European Free Trade Association. Having signed 117 double taxation agreements with countries across five continents, UAE has no restrictions imposed on foreign exchange. Its competitive finance costs, extensive liquidity levels, robust banking system, low inflation, low tariffs all boost the economy. The country turned in 2021 when it allowed 100 percent foreign ownership of companies in many sectors, thus removing the need for an investor to secure a local partner. The Projects of the 50 also has revamped the visa and residency system to attract skilled professionals in key fields like health, scientific research, technology, and other sectors. With the help of the well-focused program “Projects of the 50”, the nation is sure of creating an optimum commercial and legal environment and forging international partnerships with futurefocused countries, thus making the UAE a catalyst for regional and global growth.

CONTAINER CONGESTION IN THE USA – CONTAINERS PILE UP AT WEST COAST PORTS

Preparation for the holiday season has brought in container congestion across the USA, as demand surges and retailers pile up stock, as containers pile up across the West Coast ports, especially in Los Angeles and Long Beach.

Container xChange, a leading neutral online platform for container logistics, has published data on inbound and outbound containers at the US West Coast ports – Los Angeles and Long Beach ports.

“Our CAx (container availability index) data reveals 60% increase in the inbound outbound ratio at the ports of US West Coast, surpassing the pre-Covid levels, indicating that there is excessive stress on the ports, and therefore indicating further congestion is expected in the coming months as we approach the holiday season in the latter part of the year.”, commented Dr. Johannes Schlingmeier, Co-founder and CEO, Container xChange.

Domino effect

The cargo congestion seen in the ports on the US West Coast is a domino effect of the global supply chain disruptions. With demands driving up the need for containers, the situation has been aggravated due to infrastructural and human resources issues faced by logistic companies worldwide. All these factors combined lead to exacerbated delays in cargo arrivals.

There is an average increase of 60% in the CAx values during August 2021 compared to the same period in 2020. This explains why the inbound containers at the LA port have increased 60% from the last year during the same time the previous year.