Most of us, having lived through 2020, cannot wait until the year is recorded in history books and we can start 2021 with hopes of getting back to “normal” living and working conditions.
2020 provided us with the realization that we need to be prepared at all times for the unexpected. Previous to the start of the 2020 pandemic, Unique Logistics International as an organization had placed emphasis on having the capability to work remotely when needed and to operate in a paperless environment, which has surely helped us in sustaining through this -pandemic-driven environment. Despite the limitations placed on direct engagements with our clients, staying closely connected through frequent and updated communications on our services and state of their shipments will continue to be of great value in the coming year.
Capacity availability in ocean freight space has been more than challenging in 2020, and the issue continues to be more with availability on a seasonal basis than with the overall number of vessels and containers deployed in the market. We will have enough capacity in 2021 to support forecast demand, which will be a nominal uptick from 2020, which is still forecast to be down from 2019. The issue with capacity in 2021 will be availability when demand is at peak, and whether both ocean carriers and shippers are prepared in advance of peaks with more accurate projections, which was unattainable in 2020.
The annual contracting process will proceed as scheduled in 2021, again driven by major volume importers, but we do expect mid- to smaller size importers to opt for a mix of contracts for shorter-term price and space access for needed flexibility. As we expect 2021 to start — and likely last through the first half — in a continued period of uncertainty, the most important factor for all parties involved will be in working with commitment. As an ostensible excuse to operate in unpredictable conditions, commitment on service and cost was mostly missing in 2020, and we will need to return to delivering on committed requirements in 2021.