Navigating Uncharted Waters – The Shipping Sector’s Response to the COVID-19 Pandemic and its Impact on the Perishable Food Supply Chains

Abstract:

The global reefer trade of perishable food products (e.g. meat, vegetables) safeguards rising demand for food globally, contributing to the struggle against famine or malnutrition worldwide. Unfortunately, the COVID-19 pandemic has not spared shipping. Although the maritime sector has experienced many crises in its history, the recent global upheaval seems to be quite different, impacting the industry in two critical ways: a steep decrease in demand for shipping services, as well as by huge operational disruptions that no one was prepared for. 

Therefore, in the light of the current development of the coronavirus situation globally, the aim of this article is to scrutinize how shipping lines have managed disruptions caused by the pandemic and to investigate the ripple effects of measures taken by them on the perishable food supply chains (PFSC).

The article starts with a glance at the global trade and maritime transport of perishable chilled or frozen food products and highlights the unique features of the PFSC, which make them significantly more vulnerable and prone to operational disruptions than other supply chains. Further on, disruptions in the maritime reefer shipping unleashed by the COVID-19 pandemic are examined as well as measures undertaken by ocean carriers in response to these disruptions. Finally, the ripple effects of these disturbances on PFSC management are scrutinized.