Equator Worldwide are an expert shipping, logistics and freight forwarding company who work hard to get the best solutions for your business. As part of that the team are always looking at the challenges coming down the line for businesses that they serve so here are some of the top challenges identified for exporters at the start of 2023.
Exporter Challenges 2023
While no one can ever predict exactly what will happen in a year, these are the top challenges for exporters to navigate this year:
Increased Sanctions & Compliance – With much of the world still under sanctions, particularly with China and Russia, exporters must be aware of and comply with those sanctions that apply to them.
Supply Chain Problems – This is a continuation of the global supply chain issues the shipping industry has been experiencing over the last few years. Since COVID 19 there has been disruption to the supply chain which continues to this day. Supply chain management can’t go back to the ‘old normal’ and exporters and importers must navigate the new normal with a strong freight forwarded as their ally. Supply chain disruptions consists of a huge number or factors but the main ones are, the rising cost of fuel, the growth of technology in this sector and the continuing political disruption. Refining and re-organising supply chains will be vital to many businesses continued growth and success.
Staff Shortages – It seems every sector is experiencing staff shortages and difficult in recruiting experienced people into roles, and the logistics industry is no different. The lack of sufficient workforce not only in the UK but at logistics centres around the world is causing delays and blockages in many places, and everyone, including end users are affected.
Inflation & Recession – There have been warning of a sharp slowdown in Global Trade for a while now, because of the previously listed problems combined with that of the cost-of-living crisis will mean households have less to spend on goods and services. Keeping your costs as low and as flexible as possible as an exporter is a way to manage this risk, and a good shipping company like Equator worldwide will be working with you to achieve this.
Climate Change – Perhaps a more uncommon one than expected, but global trade and climate change are interlinked. The extreme weather events which we are seeing more of, at more unpredictable times of year are affecting maritime shipping, which holds around 80% of global trade. Environmental levies may also impact the cost of doing business around the world.
Navigating the Challenges
While the challenges exporters face move and shift over time, these are a few of our top suggestions to manage, and mitigate these issues.
Stay diligent and keep informed.
Take advantage of expertise that improves efficiencies.
Utilise the experience of a shipping partner like Equator Worldwide.
Wherever your business takes you in 2023, the team at Equator will be at your side making sure your goods are shipping in the best way possible around the world for your particular business needs.