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Covid-19 impact in MSF Supply (Ref. OCB supply chain newsletter Sept-Oct 2021)

Covid-19 impact in MSF Supply (Ref. OCB supply chain newsletter Sept-Oct 2021)

Created by Matteo Cesco
Last updated: Feb 04, 2022
2 min read

Good day,

The current Covid-19 impact is still affecting overall the supply chain and operations of our suppliers. Manufacturers and distributors are in difficulties to fulfil the needs of raw materials and finished products. Due to this instability prices of goods and services (including transportation) are increasing everyday creating an instability in the pricing of goods bought for the field.
Consequently this global supply chain disruption puts MSF Supply in a very difficult position to respond the order in due time as requested by the field (customers). To mitigate this impact we have immediately reinforce our actions in:

  • Extending our supply network

  • Identifying and activating alternative sources

  • Update our inventory policy and planning

  • Communication with the most impacted missions

 

TRANSPORT

The air transport rates are still higher than before the beginning of the crisis, they still fluctuate and we keep having less flight options than we used to for some destinations.
Maritime transport from Europe is affected by the scarcity of containers, lack of space on ships, long waiting times in ports resulting in surcharges on freight rates and delays (in Antwerp and some transit ports).

Also, ECHO and the WFP are not organizing and offering free flights to many destinations anymore to cope with the situation we faced in 2020. They still do from time to time to some specific destinations (very few) but cannot be considered as an option we can rely on.

We keep doing our best to find the best solutions at a minimum price, things are getting better but please do keep in mind that we are still not back to the situation we were in before the Covid-19 crisis began.

Thank you for your understanding and collaboration