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S P E C I A L F E ATURE THE END OF NORMAL MARKET CONDITIONS CLIFF WILLIAMSON, PRESIDENT OF TRANSPACK ARGENTINA Suppliers are creating filters, deciding which clients they want to serve We must all ask ourselves: with our regions price uncertainty and political volatility, is it reasonable to generate tenders that are valid for two or three years? We Latins are used to living through and overcoming crises, yet always in more constant external environments that allowed us to presume certain market conditions. Its now clear these wont return, at least not in the medium term. Pablo Regner, commercial sales manager for Universal Cargo Argentina, feels that while the post Covid-landscape may tempt companies to escape the clutches of global manufacturers, new problems may arise. Weve seen that where countries try to achieve self-sufficiency in producing goods, it could lead to protectionism, he said. That could have a detrimental effect on the global economy and that of individual countries. In an industry where skilled labour is scarce, Regner is relieved that tight hygiene protocols operated by Universal resulted in only one staff member contracting coronavirus. That was a glimmer of good news amid the chaos beyond that saw ports choked with ships unable to unload or load containers. It reduced the numbers of available vessels, but worse was to follow. Buenos Aires is the last port in the Atlantic and many shipping lines, not having enough cargo in our main port, decided to cut services, said Regner. With global air freight capacity cut by 25 per cent, rates for transporting goods by plane skyrocketed. Airlines and shipping lines dont give priority to international movers, so were further impacted by the lack of cargo space. Road transport to neighbouring countries was also affected since the health authorities of each country required strict medical certificates for truck drivers. Many prefer not to make these international trips. Cliff Williamson, president of Transpack Argentina, told FIDI Focus that in an already crazy world his corner of it is a little crazier than the rest. Argentina has had another economic breakdown and it is beginning to look like our instability is written into the matrix, he said. SUITCASES NOT SHIPMENTS But as an industry that thrives on crisis, were extremely busy moving people out of the country. The number of outbound shipments has dramatically surpassed the number of inbound good in the short term, probably bad in the long term. Its tragic to see the brain-drain of young, well-educated people. Worse still, these young people move with suitcases, not shipments. Recruiting movers, he says, is as severe a problem in Argentina as in many other parts of the world. We feel lucky to have an influx of Venezuelan immigrants Co 34 FF305 Mar_May 22 pp28-37 SouthAmerica_Africa.indd 34 08/03/2022 08:04