Global Package: Meeting Shipping and Glass Shortage Challenges

Global Package LLC President and CEO, Erica Harrop, has announced that despite the chaos in global shipping and short supplies in glass her company is still meeting customer expectations and deadlines. “These are scary times for the industry,” says Harrop , “but our financial strength and established long-term relationships with suppliers in China, Europe, and here in the U.S. are enabling us to negotiate these many bottlenecks, which are a result of many factors.”

Those factors have converged to impact every aspect of supplying the industry. First, was Covid-19, which forced workers to stay home, creating a global labor shortage. In fact, new outbreaks and closures in China are threatening an early recovery. A piece on the TricorBraun website explains:

“A significant increase in demand for consumer goods coincided with labor and capacity shortages due to the pandemic and has caused a situation of intertwined bottlenecks of port congestion, vessel shortages, equipment shortages, chassis shortages, rail shortages, and truck shortages. There is not enough capacity to move cargo in need of transportation.”

Another good article, in Bloomberg Business, adds that rates are being driven to record highs as a result of a dearth of containers:
“Trying to make all those deliveries on time meant that many vessels started making their return journeys empty, saving a few precious hours that would normally be spent picking up vacant boxes to ship back to China. That’s resulted in a glut of containers in European and North American ports and a shortage in Asia, pushing freight rates to astronomical levels on export routes. Those high prices — and the sharp differentials with the cost on the return route — can be seen as price signals that will push the industry to rebalance itself.

The factors that have driven Asia-Europe container rates to record levels of more than $10,000 per 40-foot box aren’t simply a temporary coordination problem. Returning to a semblance of normality could take years.”

According to Harrop, while these factors are influencing pricing and delivery, Global Package has been able work around many of these issues by working with dependable suppliers who are on the front lines in China and Europe and who are initiating alternatives to loosen bottlenecks and improve production capacity, as well as opening up domestic supplies.
“It’s important for us to be as transparent as possible during these trying times,” says Harrop. “Global package anticipated many of the Covid-related shortages prior to the Suez and other shipping obstacle in the past year. So we increased our inventory—and continue to regularly ship from Europe—to now have in place supplies for our wineries and distilleries that can meet seasonal needs. In short, Global Package is proud to be one of the most flexible glass suppliers in America.”

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Global Package, located in the Napa Valley, is experienced in supplying high-end wine and spirits glass bottles to North American markets. With a comprehensive off-the-shelf portfolio, and the opportunity for customization and decoration, Global Package can assist your brand with the most appropriate solution whatever your budget or expectations. From glass bottles, bottle decorations, pewter labels, to bar top closures and corks, Global Package can assist with your project. Start your packaging journey today by calling +1 707 224-567 or emailing info@globalpackage.net.