Digital Freight Forwarder saloodo! Sees Tense Transport Market

As the digital freight forwarder saloodo! notes, capacities in the European transport market are tight, and this has not been the case since yesterday. For several weeks now, the demand for available cargo space has exceeded the supply by more than double. This leads to correspondingly high prices and congested roads. In the current situation, shippers can be glad if their goods can even be transported.

(Cologne) A look at the statistics on the ratio of freight offers compared to cargo space offers within the European transport market from Statista shows: In May 2021 (77 percent), the share of freight offers was 44 percent higher than in May 2020 (33 percent). Compared to the previous month, the share of freight offers increased by five percent.

Blockage in the Suez Canal Led to Capacity Shortages

The short week after Easter, combined with the delayed arrival of a larger number of ships due to the blockage in the Suez Canal, has led to a certain capacity bottleneck. Currently, there is a kind of “ketchup bottle effect” in the European transport market – initially, there were few freights that needed to be transported, but in recent weeks, they all came at once.

This extreme tension in the European transport market will not resolve quickly, most experts agree. Moreover, the bottlenecks are likely to persist into the summer, meaning that a real summer lull will hardly be felt this year. However, since the market is currently so volatile, developments are difficult to predict reliably.

Good Planning and Composure

Currently, only good planning and composure help. Companies that have an urgent transport need that is requested at short notice have no choice but to come to terms with the fact of the cargo space shortage. But one thing is certain: dispatchers, freight forwarders, and freight platforms are doing everything possible to satisfy their customers and provide them with the cargo space they need as quickly as possible.

Capacities in the European transport market are tight, and this has not been the case since yesterday. For several weeks now, the demand for available cargo space has exceeded the supply by more than double. This leads to correspondingly high prices and congested roads. In the current situation, shippers can be glad if their goods can even be transported.

A look at the statistics on the ratio of freight offers compared to cargo space offers within the European transport market from Statista shows: In May 2021 (77 percent), the share of freight offers was 44 percent higher than in May 2020 (33 percent). Compared to the previous month, the share of freight offers increased by five percent.

Photo: © saloodo!