Ocean carriers, terminal operators, trucks, and trains are prioritizing the purchase of millions of COVID-19 at-home rapid test kits, as a surge in positive tests for the fast-moving omicron variant has increased demand for the product.
The initiative is being coordinated by the Biden administration’s Port Disruptions and COVID-19 task forces, revealed John Porcari, the administration’s port envoy, when asked about rapid test shortages across the country during a White House briefing on Wednesday.
“We have a procedure in place, beginning with the place of manufacture of those medical supplies, to identify them as soon as they’re put in containers, to ensure those containers are separately identified — what we call ‘block stowed’ — in a position on a ship where they can be the first off, and then prioritized for unloading.” Obviously, that would have to happen as soon as possible.”
To reduce transit time, the administration has asked ocean carriers to consider options for offloading containers containing critical medical goods at prior ports of call in a rotation. According to a White House blog entry on Wednesday, the Supply Chain Disruptions Task Force recently collaborated with a medical device company, an ocean carrier, port, and terminal operators, and rail operators to expedite the import of two dozen shipping containers containing critical equipment used in intensive care units, moving up the scheduled arrival date by weeks.
When asked if ongoing port disruptions would slow the distribution of 500 million rapid tests, which President Joe Biden announced last month the US would purchase for distribution in January, Porcari said task forces are “working hard to make sure that those tests are there when they’re needed.” So far, this supply chain and the millions of people who work on it have met the challenges. We intend to continue doing so.”
According to Porcari, the omicron variant has had minor side effects at US ports. “There have been some increased outages from longshore workers and others in the very short term.” So far, operations have not been hampered.
“As you saw early in the pandemic, there are procedures in place for port workers in terms of personal protective equipment and safety measures, and those will be ratcheted up as needed.” There are still issues, and omicron may present more, which we are closely monitoring. However, as of today, the ports and supply chains are operating at record levels.”
According to Porcari, inflation-adjusted retail inventories, excluding autos, increased 0.5 percent at the end of November compared to the end of October, exceeding pre-pandemic levels and reaching the highest monthly level recorded since 1992.
“Consumers also received 97 to 99 percent of their packages on time or with minor delays from the United States Postal Service, FedEx, and UPS,” he added. “We maintained a record-breaking holiday shopping season.”
He also emphasized measures taken by West Coast ports to build on recent improvements in addressing clogged container yards, such as yet-to-be-implemented container dwell fees at the ports of Los Angeles and Long Beach, California, and a move announced on Monday by the Port of Oakland to increase storage capacity for empty containers to assist US exporters.
Porcari, on the other hand, would not speculate on whether the current supply chain crisis has reached its apex.
“I think what is clear is that the pandemic exposed the underlying reality, which was that the supply chain was already stressed prior to the pandemic.” And we clearly need to make changes to build a more durable, resilient supply chain.
“With the passage of the Bipartisan Infrastructure Law, some of the physical upgrades to infrastructure that were built by your parents and grandparents can now be updated through that infrastructure program.”
