Ocean shipping sector obstacles in 2022

The ocean shipping sector is the most basic way to ship cargo on a global level. There are more than 6000 container ships that operate daily in the world’s oceans. That means that around 90% of the goods transported globally are distributed by ships. Can you imagine how important ocean shipping is for the world’s economy? All of that has been thrown off balance because of the pandemic, and after nearly two years since it started, there are still visible consequences for companies like the national shipping company of Saudi Arabia. While some problems have been resolved, other ocean shipping sector obstacles persist. Which are the ones with the most impact? Let’s find out.

What are the ocean shipping sector obstacles in 2022?

There are many ocean shipping sector obstacles, so we will list just the ones that have had the most impact on the ocean freight to Saudi Arabia. Some of them are:

  • Lack of employees
  • Cargo loss due to bad weather
  • Costs rising
  • Political changes
  • Recovery from Covid-19
  • New regulations

Lack of employees

One of the biggest obstacles for every logistics company Dammam is the simple lack of new maritime shipping professionals. Experienced personnel retires as time passes, but there are not enough replacements to meet the levels of demand.

People debating about ocean shipping sector obstacles
Lack of employees is a serious problem

Cargo loss due to bad weather

The volatility of the sea is one unique risk of the ocean shipping industry. As unbelievable as it sounds, there is still plenty of cargo lost due to bad weather conditions. This has a huge impact on the final financial results of all logistics companies in Saudi Arabia. And that’s not the only thing that it impacts, but also the shipping reputations and carrier growth.

Costs rising

To be honest, everything is getting more expensive, not just the costs of ocean shipping. Since it is an important component of the modern shipping industry, it directly impacts the cost of everything else. Managers need to face and try to solve this obstacle every day in this business.

Political changes

It may appear as something insignificant, political changes can be a great obstacle. Since cargo shipped this way needs to pass through the customs clearance of many countries on its way, it can be quite a hassle when some regulations change.

Recovery from Covid-19

The main problem that the pandemic has brought is the insignificant number of available containers, Even though it got better, there are still major shortages. Shippers need to be ready for this situation to persist, while the whole world’s economy is slowly but surely recovering.

New regulations

Many new environmental regulations are new environmental regulations that are being put into place, like pollution control, energy conservation, and fuel efficiency. This is a huge obstacle for ocean freight shippers who have yet to keep up with this trend.

Person holding a green branch
New environmental regulations are a new obstacle for ocean shipping

Ocean shipping sector obstacles – conclusion

Some of these ocean shipping sector obstacles are a direct consequence of the pandemic, while others were always there. But many of the regular obstacles got more pronounced because of Covid-19. Time adaptation is the only thing that can help the situation get regulated.

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