The threat of floods in Bangkok still remains

According to the Paris-based consultancy, Alphaliner, the threat of floods remain in Bangkok as the Chao Phraya river overflows and rises to its highest level in seven years.

Due to the ongoing threat of flooding in Thailand, shipments to and from the kingdom have been affected. Western Digital, Honda Motor and many other companies have been forced to suspend production in central Thailand because of the floods. Most of the factory closures are due to disruptions to local supply chain.

As of 25. October 2011, reports from shipping agents in Bangkok state that Bangkok Port has already stopped receiving discharged containers due to yard congestion. Container liners are therefore considering shifting incoming vessels to other private ports in Bangkok or Laem Chabang. In addition, due to flooding of numerous Container Terminals and ICD’s, their ability to accept additional laden containers is also in doubt. Some carries have already started to issue warnings to their customers and advising to some of them not to return laden export containers to Bangkok. Besides some of the operations could be temporarily suspended and cargo may miss its intended sailings.

Experts have stated that at that moment the impact on most companies is not huge, but it might get worse if the factories stay closed.

The flooding is expected to subside by next month.