How High Seas Piracy Influences South African Supply Chains
Piracy Threats And Shipping Disruptions in RSA
At Link Ship Chandlers, we pride ourselves on keeping our finger firmly on the pulse of the maritime world. Our day-to-day work may focus on supplying vessels in port, but we know those same vessels sail through turbulent waters, both literally and metaphorically.
In this blog, we take a closer look at how incidents of piracy and other maritime disruptions are shaping the global flow of goods, and what this means for South African ports, supply chains, and everyday business.
A Stormy Start To The Year
The first quarter of last year marked a turbulent period for global shipping. According to the International Chamber of Commerce (ICC) International Maritime Bureau (IMB), 33 incidents of piracy and armed robbery were recorded between January and March 2024, an increase from 27 during the same period in 2023. These included two hijackings, six attempted attacks, and the tragic kidnapping or threatening of 45 crew members.
Off the coast of Somalia, long known for its piracy risk, the waters have once again turned dangerous. The resurgence of attacks has sparked global concern, with experts stressing the need to protect critical shipping routes and, most importantly, the seafarers who keep the global supply chain afloat.
LEARN MORE: Defend Your Voyage With Key Insights On Preventing Maritime Crimes
South African Ports Feel The Ripple Effect
While these incidents may seem far from home, the consequences land squarely on our doorstep. With trade through the Red Sea dropping by 40% due to Houthi rebel attacks and the Panama Canal suffering a 30% decline linked to drought, many global shipping lines are now opting to reroute their vessels around the southern tip of Africa.
In theory, this shift could be an opportunity for South African ports. But in reality, many local terminals are already under pressure. Port congestion, equipment breakdowns, and ageing infrastructure are hampering our ability to take advantage of the increased traffic. In some cases, these limitations lead to further delays, adding strain to already extended delivery timelines.
ALSO SEE: South Africa’s Marine Oil Pollution Act
Impact On Everyday Goods And Pricing
When shipping is disrupted, the knock-on effects extend far beyond the docks. According to the United Nations Conference on Trade and Development (UNCTAD), rerouting vessels around Africa adds approximately 12 days to journeys from Asia to Europe. That might not sound like much, but it stretches turnaround times, cuts global shipping capacity, and causes shortages in high-demand goods.
Take something as seemingly simple as avocados. East African producers have already experienced difficulties getting their harvests to international markets on time. Tea and coffee shipments have also been delayed, while container scarcity is causing price hikes that filter down through the entire value chain. This, in turn, influences inflation rates and hits consumers where it hurts: their wallets.
What South African Businesses Should Be Watching
From our vantage point in the supply chain, we see how important it is for local businesses to keep track of these shifting tides. Companies involved in imports and exports need to understand how global disruptions can affect lead times, stock availability, and cost structures.
Industry experts like Malcolm Hartwell, Master Mariner and Head of Transport for Africa at Norton Rose Fulbright, believe that understanding the causes of these disruptions and preparing accordingly is no longer a luxury. It’s a necessity. He’ll be speaking on this very topic at the 2024 SAPICS Conference in Cape Town, offering insight into the legal, logistical, and financial steps companies can take to safeguard their supply chains.
The Value Of Local Insight
This is where South African know-how and adaptability come into play. Even as international routes change and global bottlenecks build, businesses operating from local ports like Cape Town, Durban, and Gqeberha have a chance to stay competitive if they can tap into the right networks.
Ship chandlers like ourselves are often among the first to hear what’s happening out on the water. By working closely with port operators, shipping lines, and logistics providers, we stay in the loop so we can help our clients plan ahead.
READ NEXT: Ship Chandlers = Secret Weapon In The Maritime Industry (Here’s Why!)
Looking Ahead
The reality is that high seas piracy and other disruptions aren’t going away anytime soon. But with vigilance, collaboration, and shared industry insight, South African companies can navigate these challenges and find opportunity in uncertainty.
Whether you’re managing a fleet, moving goods across oceans, or waiting for a key delivery to hit your warehouse floor, it pays to stay informed. Check back soon for more shipping updates, local industry insight, and supply chain news that keeps you connected to what’s happening at sea.
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