Want to avoid surprise Sea Freight storage costs at Christmas?
9th December 2019
Christmas is probably the only time in the UK where the majority of businesses shut down for the same holidays. This often catches many companies out, as they are unable to receive container deliveries and get surprise storage fees as a result.
Container storage fees at Christmas
It's not uncommon for there to be a shortage of road hauliers throughout the Christmas period, which often results in scheduled transport being delayed. This is a common occurrence over the Christmas period as demands on the hauliers reach a peak and driver shortages take their toll. As the final leg of sea freight is predominantly by road, the delivery of a shipment to its destination is only confirmed upon the container being landed.
Shipping line final delivery nearly caught out Electrosteel
Electrosteel had a container delivery scheduled for a few days before their Christmas shutdown. This wasn't a problem until the transportation of the final leg was confirmed and the actual delivery was due to be a day during the factory shutdown. This meant it couldn't be received and offloaded for the time the shipping line had scheduled. The only alternative put forward by the shipping line was to have the container stored until after the Christmas break at Electrosteel’s expense.
Spatial Global arranged alternative haulage at a significant saving
The shipping line only has an obligation to deliver, it does not have an obligation to store the goods if you cannot receive them, so this cost is passed on. Upon informing Spatial Global about their situation, a solution was put forward and agreed within hours. Organising the haulage direct, independent of the shipping line, meant that the delivery could be collected and completed before the factory shutdown. Even though this was an additional expense it was a significant saving on the likely costs for storing the container.
"The team at Spatial Global were terrific, they responded quickly, organising an independent road haulier who could collect and deliver the container within our required timeframes. This meant we had the resources at our Chesterfield facilities to unload before the festive shutdown. In addition to avoiding the unnecessary storage costs, we had the materials ready to dispatch upon our return in the new year."
Gary Doolin Senior Manager at Electrosteel Castings UK
If you are due a container delivery close to Christmas – have a Plan B
If you have a sea freight container delivery provisionally scheduled for the week prior to your Christmas shutdown, then it’s wise to have a plan B for your road haulage. As this is a peak demand period for road haulage, it may be more effective to work with someone like Spatial Global who has a broad road haulier supplier portfolio to draw upon.