Flint Group provides an update on the effect of developments in the Red Sea
February 2024 - Flint Group, a leading supplier of inks and coatings to the print and packaging industries, comments on the escalating impact caused by shipping delays across trade routes in the Middle East.
Doug Aldred, Chief Commercial Officer at Flint Group, comments: “Consistent with many businesses, our global supply chain, transit times and costs have been impacted by developments in the Red Sea.
"The redirection of sea freight around the Cape of Good Hope, bypassing the Red Sea-Suez Canal route, is anticipated to lead to extended transit times, ranging from two to six weeks. These changes also affect other sea freight routes – notably transatlantic crossings – due to the limited availability of containers and ships.”
The company recognises growing concerns related to container availability and substantial increases in sea freight container costs. Multiple sea freight carriers have introduced surcharges due to the requirement for vessels to re-route via the Cape of Good Hope, as opposed to utilising the Red Sea-Suez Canal route. Flint Group continues to evaluate cost increases carefully and, where relevant, may evaluate the implementation of freight surcharges.
Arno de Groot, Vice President, Procurement at Flint Group further explains: “As a consequence of the reduction in the number of ships docking at Red Sea and Mediterranean ports, additional freight handling via 'feeder trans-shipments’ have been necessary. This process involves collecting containers from smaller ports and transporting them to hubs for loading onto larger vessels, resulting in extensions to transit times of up to twenty-eight days. Finally, due to uncertain vessel schedules, ports elsewhere across the globe may encounter congestion."
Mr. de Groot concludes: “Our global Procurement and Customer Service teams are working diligently to mitigate the impact of the current sea freight disruption by proactively tracking incoming materials, reviewing stock levels and adjusting the mode of transportation to recover delays. Our top priority is to ensure customers have the inks and coatings required to run their sites smoothly. We will update our customers as the situation evolves and continue to do everything we can to minimise any adverse impacts.”
Flint Group will inform its valued customers of any potential impacts to existing and future orders. The company recommends that customers proactively plan stock levels in anticipation of increased lead times. Flint Group’s local sales and service teams stand ready to support.
Customers with questions or concerns regarding the ongoing situation and its impacts are encouraged to contact info@flintgrp.com.
ENDS
About Flint Group
Flint Group is dedicated to serving the needs of the global Flexible Packaging, Paper & Board, Narrow Web and Publication industries, both conventional and digitally printed. The company develops, manufactures and markets an extensive portfolio of printing consumables and equipment, including: a vast range of conventional and energy curable inks, coatings and additives for Flexographic, Gravure & Offset applications; pressroom chemicals and printing blankets. Furthermore, Flint Group designs and manufacturers digital printing presses for labels, corrugated packaging, document and commercial applications. The company is a leader in colour management solutions which are supported by a Global Colour Centre to ensure colour consistency and standardisation. Flint Group strives to support its customers through a relentless focus on developing: innovative products, exceptional levels of service and the security of supply. Headquartered in Jersey, Flint Group employs some 5,000 people. Revenues for 2023 were €1.5 billion. On a worldwide basis, the company is the number one or number two supplier in every major market segment it serves. For more information, please visit www.flintgrp.com