Force Majeure

Market Insight: Three-card monte in logistics – expect casualties, Toll & Flexport most exposed

A seventeen-year-old boy with plenty of hope and just enough money in my pocket to survive a week in Paris, the first place I visited in the French capital in the early 90s was the Les Puces de Saint-Ouen flea market.
Only mildly attracted to all sorts of goods on sale, my attention was immediately grabbed by a small crowd gathering, where a gentleman offered me, and anybody else, the opportunity to …

The post Market Insight: Three-card monte in logistics – expect casualties, Toll & Flexport...

https://theloadstar.com/market-insight-three-card-monte-in-logistics-expect-casualties-toll-flexport-most-exposed/

World’s Biggest Coronavirus Lockdown Makes Ship Operations Go Awry!

According to a Platts report, India’s three-week nationwide lockdown to contain the deadly coronavirus pandemic will delay both imports and exports of commodities such as crude, coal, iron ore, vegetable oils and refined energy products as several ports have declared force majeure, while shipping operations across its sprawling coastline are going awry.

What happened?

India was amid a two-week quarantine on all ships when the lockdown was imposed, and it comes at a time when the country was...

http://mfame.guru/worlds-biggest-coronavirus-lockdown-makes-ship-operations-go-awry/

Indian supply chains descend into ‘chaos’ as the lockdown goes nationwide

Cargo is being abandoned at Indian airports amid the “chaos” caused by the country’s three-week nationwide lockdown.
Having started on Sunday in some cities, the anti-coronavirus measures were extended on Wednesday to include the entire 1.3 billion population until 15 April.
Cargo movement is supposed to be exempt from the lockdown restrictions, but there are widespread reports of disruption across land, sea and air.
“Due to city-wide lockdown, vehicles are not moving freely …

The post Indian...

https://theloadstar.com/indian-supply-chains-descend-into-chaos-as-the-lockdown-goes-nationwide/

Ceva declares force majeure

Due to Coronavirus (COVID-19) pandemic, CEVA Logistics has been forced to declare Force Majeure.
This means that it is temporarily relieved of its normal contractual obligations where these are rendered impossible or impracticable, due to the Coronavirus epidemic and its effects.
Having declared Force Majeure, CEVA Logistics reserves the right to modify all or part of its services, to change its working procedures and any previously agreed rates and prices, to levy …

The post Ceva declares force...

https://theloadstar.com/ceva-declares-force-majeure/

BIFA: coronavirus and force majeure

BIFA has put out an updated article on force majeure, and when and how it applies. Top tips are to collect evidence to show what you have reasonably tried to do to prevent harmful consequences and, perhaps even more importantly, communicate. With everyone.
“In these sorts of situations communication is very important, as customers need to know what the likely consequences are concerning their shipments.” Worth a read if you need …

The post BIFA: coronavirus and force majeure appeared first on The...

https://theloadstar.com/bifa-coronavirus-and-force-majeure/

Chinese Firm Offers Force Majeure on Gas Imports! Threat To US LNG?

  • US LNG might face minimal threat from PetroChina force majeure on gas imports.
  • Declaration to put further pressure on an already depressed market due to weaker than expected demand and low international prices.
  • Cheniere Energy Inc. has two long-term contracts with PetroChina for a combined 1.2 million tonnes per annum of LNG. 
  • Cheniere’s contracts are typically robust and able to accommodate flexibility.
  • The biggest U.S. LNG exporter said that it was notified of cancellations of two loadings...

http://mfame.guru/chinese-firm-offers-force-majeure-on-gas-imports-threat-to-us-lng/

Force majeure: getting it wrong can be a very expensive business

DHL Global Forwarding has declared force majeure on its sea and air freight contracts, allowing it to modify its services despite the agreements.
Invoking force majeure allows companies to protect themselves from legal responsibility, something forwarders have been particularly concerned with.
However, insurance companies are advising caution before invoking the clause.
“Force majeure is defined as ‘an event, or a series of related events, that is outside the reasonable control of the party …

The...

https://theloadstar.com/force-majeure-getting-it-wrong-can-be-a-very-expensive-business/

Coronavirus Pandemic: Can It Be a Force Majeure Event?

  • The World Health Organisation recently declared the novel coronavirus a public health emergency of international concern.
  • Companies will need to consider their obligations in response to government announcements, the level of business disruption and other commercial risks arising from the novel coronavirus.
  • Force majeure clauses must be carefully examined to ensure that these notices are properly tendered and to check whether they can even be validly given under the circumstances.
  • The clause...

http://mfame.guru/coronavirus-pandemic-can-it-be-a-force-majeure-event/

Losses Piling For Shipping Industry Due To Coronavirus Outbreak

  • Coronavirus has resulted in unprecedented measures and declines in rates across all shipping segments.
  • Due to shutdown, commodity demand has slumped with  many declaring  force majeure on contractual LNG imports.
  • Seasonality issues combined with coronavirus uncertainty has impacted the GDP.
  • The shipping index is down 30% year to date, Capital Link Maritime Index is down 24% year to date.
  • Labor shortage is causing delays for both newbuildings and scrubber installations.
  • Brent crude oil has...

http://mfame.guru/losses-piling-for-shipping-industry-due-to-coronavirus-outbreak/

China’s reefer cargo crisis worsens as carriers plan to abandon boxes

Japanese carrier ONE has joined several of its liner peers in imposing a congestion surcharge on reefer containers destined for major Chinese ports.
Moreover, some carriers are preparing to declare force majeure and leave refrigerated containers at alternative ports.
With the coronavirus outbreak showing no signs of abating in China and still severely restricting landside operations at the ports of Shanghai, Ningbo and Xingang, reefer plug-in points are in extremely short supply, …

The post China...

https://theloadstar.com/chinas-reefer-cargo-crisis-worsens-as-carriers-plan-to-abandon-boxes/

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