April 22, 2024- Busy shipping supply routes have experienced recent disruptions, resulting in delayed deliveries of critical medical supplies. The medical supply chain relies on an intricate system of shipping routes to deliver products on time.
A recent threat assessment from Healthcare Ready explored why some medical products are currently taking longer to get to their destinations. Healthcare Ready is a nonprofit organization that helps the national healthcare system respond to crises.
The 2024 Global Shipping Issues Threat Assessment highlights that there are two ongoing major supply chain disruptions: The Panama Canal restricting ships and increased danger and vessel rerouting in the Red Sea and Suez Canal.
The Panama Canal
The disruptions in the Panama Canal have largely been caused by an unprecedented drought that started in late 2023. The current drought has Panama experiencing the driest months since 1950, according to BBC News. As a result, water levels in the canal have caused long wait times for vessels and lengthy shipping delays. Delayed ships are often carrying much-needed medical cargo onboard such as medications and supplies.
The Panama Canal is responsible for moving 80% of global trade, and authorities have placed restrictions on daily vessel transits that are expected to remain going forward. Additionally, some ships are being forced to carry 40% less cargo to decrease weight in low-level water, according to Becker’s Hospital Review and Healthcare Ready.
Shipping vessels, as a result, are experiencing extended transit times. Ships going through the Panama Canal are facing constraints on capacity and size, often having to leave medical products behind.
Read More in the latest issue of Repertoire Magazine.