Coca-Cola is using bulk shipping vessels to transport materials to its manufacturers. These vessels typically transport items such as coal and grain. Wang Jianmin/VCG via Getty Images
Coca-Cola will go to great lengths in order to transport materials using bulk shipping vessels.
Bulk shipping vessels are often used to transport raw materials such as coal and grain.
The shipping crisis continues to cause major disruptions in supply chains, making it harder for many goods to be found and more costly.
Check out more stories from Insider's business page.
Coca-Cola is taking great measures to transport its materials using bulk shipping vessels in the midst of the shipping crisis.
These carriers are usually used for loose goods like grain, coal, or other raw materials. They were chosen because Coca-Cola could not obtain the cargo space and shipping containers required for transportation, wrote Alan Smith, global logistics procurement director at Coca-Cola, in a LinkedIn post. Three of the ships are currently being used by the company to transport its manufacturing materials.
Companies like Coca-Cola are forced to think creatively about how they transport goods and materials around the globe because of transportation shortages.
Costco and Target, two of the largest retailers, have chartered cargo ships to address these problems. However, ports remain backed up, causing massive delays due to the continuing labor shortage and the increase in ships returning to the ocean.
According to Smith's comments, Coca-Cola is trying to avoid major ports in order to further delay delays.
Smith wrote, "For these we're heading to non-congested ports so that we can hope for a smooth discharge." Good coordination is essential for both the loading and discharging operations.
Smith did not respond before publishing to Insider's request for comment.
Some people have taken notice of Smith's post and shared it on social media. They recognize that this method of transporting materials is unusual for Coca-Cola.
One user posted on Twitter, "No container, No problem." "No, this doesn't seem normal. It's not a good sign."
Due to the ongoing supply chain crisis and shipping delays, there have been price increases and shortages throughout the country. Insider reported that Coca-Cola's New York distributor stated in September that it is having difficulty recruiting truckers. This further disrupted the supply chain. As manufacturers attempt to meet the demand, other goods and products, such as paper, Nike sneakers and toilet paper, are also in short supply.
Business Insider has the original article.