SEKO Logistics informs American Shipper it is broadening its logistics footprint by chartering vessels. The logistics service provider started chartering package ships in July.
“We are looking to charter one or two vessels a month,” discussed Brian Bourke, the business’s primary development officer. “The vessels are carrying in upwards of 1,000 TEUs. We are offering this service to make sure our clients have the capacity to import their products to avoid any additional backlogs.”
Bourke states the choice to begin chartering vessels did not come gently.
“This is not what we typically do,” he stated. “We work well with the ocean carriers, but this market has created a lot of unique situations. We decided to test the market with one vessel and the space was gobbled up within hours.”
Additional Asia schedules are being included throughout the rest of 2021 and into early 2022, with 90% of the reservations going to existing customers.
“This situation will not get better until well after Lunar New Year,” statedBourke “The inventory-to-sales ratio is still going down. Until you see that creep back up, this demand will continue.”
The charters are predestined to smaller sized ports on the West Coast such as Portland, Oregon, and San Diego.
“We want to avoid the Port of Los Angeles as much as possible,” Bourke stated. “One of the advantages of a smaller sized vessel is we can prevent the deepwater ports and the blockage. The smaller sized ports are terrific due to the fact that we can enter port quicker.
“We can also transload our clients’ products quickly onto trucks destined to Detroit, Chicago and all points inland. We are avoiding the rails. It is chaos.”
Bourke stated SEKO’s transloading company is up 1,000%.
SEKO’s statement follows the news of other carriers like Home Depot that have actually chartered vessels in an effort to prevent the logistics blockage.