MIAMI (CBSMiami) – The supply chain nightmare continues to drag on.
Experts now call it the worst non-war backup the world has ever seen.
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When COVID19 started, ports experienced a significant drop in trade. Now a massive increase, coupled with the holiday season, is creating a bottleneck in the supply chain system.
CBS4 News traveled to Port Everglades to find out more. It is one of the largest ports in the country, playing a major role in the ebb and flow of the supply chain.
“More than likely, if you consume something for breakfast, lunch or dinner, you are going to consume something that has been processed by Port Everglades,” said Jonathan Daniels, director of Port Everglades.
The supply chain, made up of ports, railways, roads and airways, is experiencing the worst backup ever.
“We are seeing a situation where the supply chain has not been built and cannot cope with the current issues that are occurring. Some of the products that are supposed to hit distribution centers won’t be on the shelves for 6 to 8 months, ”Daniels said.
Triggered by the pandemic, the problems we’re seeing in the United States started in California.
“They’ve seen a 50% reduction in the amount of cargo going through their ports,” Daniels explained.
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A lull, followed by an unprecedented surge.
Daniels said, “This increase has come as fulfillment centers and our retailers in the United States begin to build inventory for the holiday season. Both situations are enough to stress the supply chain. When they happen simultaneously, you have a perfect storm.
A shortage of goods, leading to increased demand and then inflation.
“We pay more at the pump; we pay more in grocery stores. We have to be prepared to see higher prices for a long time. “
To stay one step ahead of the problem, Daniels says they plan to spend 10 to 20 years in Port Everglades; spending nearly half a billion dollars on modernizing equipment and infrastructure.
As Florida ports stay ahead of the game, seeking a solution, Daniels says critical issues run deep and will require help from the federal government.
“We need to better integrate our transport network: road, rail, air, port. If we don’t, what we’re looking at is that this type of situation is going to happen over and over again. “
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These supply chain issues aren’t going away anytime soon. Experts say we’ll likely be well advanced in 2022 by the time we see relief.