The Los Angeles Port chief on Tuesday called on companies to pick up their shipments faster to ease the crowds.
“Container retention time is much longer than it was before the pandemic,” CEO Gene Seroka told CNBC “Squawk on the street,” which refers to the length of time the container spends in port.
“We ask our importers to take over the cargo as soon as possible, devan products and return those containers back to the port, “added Seroka, who ran the busiest container port in North America. since 2014.
The amount in the port of Los Angeles increased during coronavirus pandemic after initial deceleration; in February it saw it for the seventh month in a row an annual increase in the number of equivalent units of twenty feet, or Yours, has been processed.
“The time the importer needs to pick up the cargo at the port is now more than four days, but it has exceeded his five days while standing in the apartment,” Seroka said, adding that progress has been made in other metrics as well.
“Truck turning times – the amount of time it takes a trucker to get in and out of port to unload and pick up containers – have dropped to 77 minutes from 88 back in December. So we’re starting to see some of the trend in the right direction,” he said.
The containers were seen at the ship dock, while the global outbreak of coronavirus disease (COVID-19) continues in the port of Los Angeles, California, on April 16, 2020.
Lucy Nicholson | Reuters
However, Seroka said he would like the improvements to be accelerated as it won’t be long before the proportional periods are traditionally increased.
“Before we realize it, August will come to us and we will start to see the goods returning to school, other items on sale, and then the holidays at the end of the year, the most important season for retail,” Seroka said.
Asked by CNBC Carl Quintanilla whether policymakers could do anything to ease the burden on ports, Seroka pointed to the importance of workers being vaccinated to protect themselves from Covid.
“There are more than 100,000 people coming here every day to work here in the port complex. We have made significant strides with our ports and longshore members, but we still have a lot of work to do in terms of truck drivers, warehouse workers and others,” Seroka said. .
“Second … we have to lift the load faster. Then we can increase the fluidity much faster. Our tarmacs are about 90% full, and in our industry 80% is considered full capacity,” he said.
Questions about the global supply chain have been raised in recent days after one of the world’s largest container ships blocked the Suez Canal. As traffic resumed on a vital waterway on Monday, some experts warned of the impact of the multi-day blockade it will be felt in the coming months.
Seroka didn’t seem particularly worried about the consequences for the port of Los Angeles in southern California.
“You’ll see a bunch of cargo ships when they arrive on the East Coast and Europe call port. You may even see some shipping companies adjust their timetables to miss port calls and return ships on schedule, “he said.” For the West Coast, we still see strong prospects for import shipments in mid-summer. “