Shortage of refrigerated containers and rising tariffs amid the South American fruit shipping season

Published Nov 11, 2024

Tridge summary

The refrigerated container (reefer) market is experiencing a surge in rates due to increased demand, equipment shortages, port congestion in Asia, and strikes in the United States. Chile's ranking as a major fruit exporter, especially for perishable products, has led to a lack of reefers in neighboring countries like Peru and Ecuador, negatively impacting their agricultural and fishing exports. This competition for reefers, coupled with shipping companies' preference for the Chilean market due to better freight prices, is driving up rates and creating logistical challenges. Experts suggest regional cooperation and collaboration to improve the distribution of containers and alleviate pressure on the market. Chilean exporters are responding by reserving containers in advance and forming strategic alliances with logistics providers and shipping operators.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

With the start of the fruit export season in Chile, the refrigerated container (reefer) market is experiencing a significant rise in rates, driven mainly by growing demand and equipment shortages. In this context, external factors, such as port congestion in Asia and strikes in the United States, are generating a domino effect that goes far beyond Chilean borders, said María Cecilia Ríos, Administrative Manager of Fresh Cargo to Más Container. In addition, due to better freight prices in Chile, shipping companies are prioritizing their resources there, reducing the availability of reefers in neighboring countries such as Peru and Ecuador. Chile is ranked as one of the main fruit exporters in the southern hemisphere, that is undeniable, especially based on perishable products such as cherries, blueberries and grapes. These products require transport under controlled refrigeration conditions to ensure their freshness in destination markets, particularly in North America and Asia. ...

Source: Portaldelcampo