Monday 24 August 2020

Today’s Logistics Report: Fighting for a Port; Strife on Docks; Accelerating Technology

An Islamic extremist insurgency in Mozambique is getting disturbingly close to major natural gas developments. A group affiliated with Islamic State seized control of the East African country’s Mocimboa da Praia port this month, computer engineering vs computer science, Sarah McFarlane and Benoit Faucon report. The confrontation is bringing violence to a site that’s been used as a logistics transit point for equipment heading to developments that include a multibillion-dollar project led by French energy giant Total SA . Shipping companies and shipbuilders have been looking at that site as a potential boon because it would require some 16 new liquefied natural gas carriers to handle the projected output. Total says it’s not slowing down, and has “a robust security protocol in place with the authorities to ensure the security of the workforce and the operations.” The project is one of three major energy developments planned in Mozambique that have drawn significant foreign backing.

A standoff at Canada’s second-busiest port is over after nearly two weeks. Striking dockworkers at the Port of Montreal agreed to a seventh-month truce with port employers, the WSJ’s Vipal Monga reports, ending a standoff that had raised alarms about the potential impact on the Canadian economy. The truce will last until March 2021, allowing cargo handling to resume at a key supply-chain hub and Canada’s main gateway to European trade as the critical peak shipping season is starting to heat up. Some shipping companies and freight customers were already beginning to reroute goods to other ports, and provincial government officials were calling on the federal government to intercede. Discussions over the workers’ demands, largely around scheduling issues, will resume continue as work resumes. The longshore workers have been working without a contract since the end of 2018.

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