b'MAY 24 - JUNE 20, 2021AGRICULTURE TRANSPORTATION13North American produceHouse Republicans and Democrats voice concerns industry sounds warningto FMC that ocean carriers decline to ship bell re pallet shortages US agriculture exportsAlthoughconversationsfood.If there is not a con- By Stas Margonanis, AJOTareoccurringwithinthecerted effort across the supplyOn March 9th, a group of Democratic andhealthy, nutritious food around the world. Food North American (and global)chaintoensurepalletavail- Republican Congressional representatives ledis a national security issue and we cannot allow industryrelativetothecur- abilityforshipmentofpro- byJohnGaramendi(D-CA)andJimCostafor disruptions to this system. This letter sends rentacutepalletshortages,duce, there is little doubt that(R-CA) announced that they authored a bipar- a strong bipartisan message to quickly inves-we believe that many do notit will be very difficult, if nottisan letter to Michael A. Khouri, chair of thetigate and resolve any issues that impact our yet realize the factors impact- impossible,forthegrower/ Federal Maritime Commission (FMC), voicingeconomy and ability to feed the world.ingthesituationandtheshippercommunitytomeetconcern over reports that certain vessel-operat- RepresentativeJohnGaramendisaid: potential scope of the issue,buyer,andultimatelycon- ing common carriers (VOCCs) are declining toCaliforniasagricultural exporters and other includingtheavailabilityofsumer,demandforproduce.ship U.S. agricultural commodity exports frombusinessesarewillingtopaytoensurethat produce to consumers. Simultaneously, growers andU.S. ports. American-madeproductsreachmarketsin A multitude of issues areshippers are working hard toOver100congressionalrepresentativesthe Asia-Pacific.Inturn,companieslooking impactingpalletavailabilityremain compliant with palletsigned the letter to the FMC including: Gar- to offload foreign-made products at American including: requirementspecificationsamendi,CostaandAdrianSmith(R-NE),ports must provide opportunities for AmericanEfforts of wholesalers, distribu- wheretheycan,butthisisRepresentatives Rodney Davis (R-IL), Dustyexports. Even during a global pandemic, trade torsandretailerstoensureproving challenging.Tempo- Johnson (R-SD), Troy Nehls (R-TX), Jimmymust be mutually beneficial, and I expect the sufficientinventoryofnon- rary modifications or excep- Panetta (D-CA), and Mike Thompson (D-CA). Federal Maritime Commission to resolve these perishablesgivenprevioustionstopalletrequirements,California is a leading exporter of agri- issues and ensure that is the case.pandemic-related impacts. as long as they do not jeop- culturalcommodities,totalingover$42bil- The AgricultureTransportationCoalitionThe availability of lumber toardizesafety,wouldprovelioninannualreceipts,saidRepresentative(AGTC) has taken a leadership role urging the File Name:NCP 14316 - 31 Min Later - AJOT - 8x10 - v2.0 Title: Here Today. Gone 31 Min Later. repair and build new pallets. advantageous until this pallet14316 Jim Costa. It is critical that we resolve supplyFMC to take action against ocean carrier prac-Client:NC Ports Pub:AJOTJob #:Trim Size:Full Page 8x 10Theescalatingpriceofshortage is resolved.App:4C chain issues so our producerscan quickly shiptices that hurt U.S. exporters.InDesign CC Bleed Size:No BleedColors:Close Date:1/31/20lumber when it is available. Non-perishableinventory dwell time increase. Lack of available trucks to relocate pallets.Thelackofpalletsis addingstresstoasupply chainthatisalreadyfacing significantchallengeswhich includealackofavailable trucks and shipping contain-ers,ongoinglabourchal-lenges, fluctuating fuel costs, pandemic-relatedchallenges andapendingshortageof resinusedtomakereusable containersandpallets.At thistimeexpectationsare thatthepalletshortagewill continue for months, perhapsHere for the balance of 2021all at a time when many North American produce items are justbeginningseasonalhar- today.vests and shipments.To give a sample of the scopeoftheissue,weve compiled the following infor- Gonemation: Theshortageoflumber andwoodproductshas increasedthecostofraw 1 min lumber 200% to 350% and is making the cost of wood pal-lets increase incrementally.Inoneexample,itwaslater.noted that over the past few weeks,palletcostshave increasedmorethan400%, IF the pallets are even avail-able, and often they are not.Onefarmerwastoldby one pallet supplier that they areWelcome to done.not taking any new customers due to an inability to fill evenThink fast. Thirty-one-minutes-pedestal-to-existing customer demand. pedestal for a dual move. Our uncongested port Companiesareforcedtoand efficient gate turns have made us the port bring pallets from other juris- with the fastest turn times on the East Coast. dictionstherebyincurringAdd three neo-Panamax cranes, our strategic border and transportation costs. location, customized logistical solutions, and Palletsarebeingheldreadily available berths and storage areas for in-house due to delayed andcontainer, bulk, breakbulk and ro-ro operations, cancelledordersfrompalletand its goods delivered, job done and mission services,leadingtohigheraccomplished. See how were never done storage charges and increased congestion within operations helping you discover the power of DONE. Workingtogether,the800.213.4430 // NCPorts.comsupplychainmustbalance organizationalgoalsrela-tivetooverallavailability of goods with availability of'