Disruptions in global supply chains — which have led to a shortage of some goods — will take “quite a long time” to resolve and push consumer prices even higher, a shipping executive said.  

After the Covid-19 pandemic, global trade rebounded strongly. However, this has led to problems such as a shortage in shipping containers and warehouse space and congestion at ports. There is also a shortage on truck drivers who can move goods.    

CNBC’s Tim Huxley said that “this is going to take quite some time to sort out.” He was the chief executive officer of Mandarin Shipping in Hong Kong.Street Signs AsiaOn Tuesday.

Huxley said that “every sector in this combination of black Swan events must really try to address its specific issues.”

He stated that the shipping industry has been building larger container fleets. However, most of that new capacity won’t be ready until 2023 at the earliest — until then, a shortage of ships persists, Huxley added.

In addition, more investments in infrastructure like ports, roads and bridges are needed — but that, too, could take years to materialize, he said.

The CEO stated that all of these issues are going to be around for a long time.

He said, “So I fear that this will end up translating to higher prices for consumers down the road and even shortages of certain goods.”

Global supply chain bottlenecks have compromised the availability of many goods including Christmas decorations and food.

Inflation has risen because of these constraints. Some economists warn that this has led to higher inflation. inflation could stay higher for longerMore than you expected.

Last month, the International Monetary Fund stated that while it generally agreed with estimates that price rises will slow down eventually, however noted that there were still significant risks. “high uncertainty” around those forecastsDue to inflationary risk in developed countries, including the U.S.A. and U.K.

In the event of excessive inflation, the Fund advised that central banks be prepared for tightening policy.