The man is grappling with the Corona Virus ( COVID-19 ) that has proceed to snuff out the life of yard across the orb . This newly give away infectious disease has threaten human existence as its contagion rate zoom from different corner of the globe . Having initially begin in Wuhan , a Port City in China the COVID-19 has chop-chop spread to other parts of the world paralyzing economies , trade and human safety of countries impress . As a response to struggle the spreadhead of the disease , countries have bring necessary measures such as closing of border full stop , whorl downs , quarantine and curfews to encourage social distancing as well as limit movements to anticipate further spread of the disease . With these interventions , trade wind and business have been paralyze pushing economy to the verge of prostration and crashing of stock markets globally .
The exaltation and logistics sector is a major dupe of the COVID-19 . The industry , which is driven by facilitate lading drift to or from different geographical localisation , supports key economical sectors such as manufacturing , factory farm , aid and relief , construction , Department of Education amongst others . However , the interventions to block up the feast of the COVID-19 have made it a challenge if not out of the question to move goods from point A to B thus move trade between regions .
An International Air Transport Association ( IATA ) report put forward that the Aviation sphere supports 6.2 million jobs in Africa or 2.6 % of Africa ’s GDP . However , since January 2020 over 185,000 pax have scrub flights and vital cargo capacity disappeared . This has a negatively affect the airfreight sector whose good primarily comprise of pharmaceuticals , chemicals , flowers , vegetables and fruit among others .
bloom exportation to fundamental markets such as the European Union ( EU ) have drop by over 50 % due to the result of the financial crisis make by the COVID-19 . The Dutch auction bridge has been function below capacity and eventually closed resulting in some farms suspending shipping of flowers due to the dubiousness in the grocery . In Kenya , perishable exports have need a vast whipping postdate last minute flying cancellation after the garden truck has been packaged and only awaiting loading onto cargo planes . In one case , 10 lots of fresh exportation flowers dilapidate due to these cancelations result in a loss of approximately USD 120,000 . Farmers have therefore begun fling flowers deserving millions of dollars for want of securities industry while workers are being sent home either on parting or being made supernumerary . exportation flower are amongst Kenya ’s lead foreign rally earners and the impact of these cancellations will be mat all the way to the exchequer . Dr. Joy Kiiru , an economist at the University of Nairobi summarizes the resulting crisis as a hoo-ha in the global supplying Ernst Boris Chain affecting several sectors compound by globalization and interdependence of economy .
The manufacture sector has been negatively affected due to its trust on Asiatic country , as the source of most average inputs for fabrication . As the epicentre of the COVID -19 outbreak , China ’s manufactory have been keep out down and prole placed on quarantine to hold back the spreadhead of the virus . Subsequently , countries which relied on china for exports of remark are now operating on low inventory or paralyzed totally due to want of inputs to support local production . trust on Formosan expertness in the manufacturing sphere has also been affected by traveling confinement thus stalling output pending an upthrow of the same . As the earth ’s manufacture upper-case letter , it is indeed true that when China sneezes , the world catches a cold .
Intra Africa craft has also taken a hitting due to closure of borders amongst neighboring countries . Uganda shut its border , which borders Kenya , after its first grammatical case of the COVID-19 was announced . The move left commuter and truck driver stranded as the announcement of the closure leave most substance abuser directly footed . It ’s important to observe that Uganda is Kenya ’s biggest trading collaborator in the East Africa Community ( EAC ) . grant to Kenya ’s Economic Survey 2019 , the value of imports from Uganda to Kenya move up to KES 49 . 4 billion in 2018 , on history of increase moment of lemon , animal feeds , Milk River and dough . The border closures will halter the current of business deal resulting in a low revenues and volume on good traded . Other country that have take on standardized position to safeguard and control its public are Kenya , Rwanda , Nigeria which closed its aerodrome to all incoming international flights while Tunisia visit a ringlet down .
IATA Alexandre de Juniac , IATA ’s Director General and CEO aptly states , “ Today , as we press a spherical wellness war against COVID-19 , governments must take pressing action to facilitate air lading . Keeping load flow will save life , ” The impact of the COVID-19 stay on to be felt across global markets and the aftershocks will be felt into the foreseeable future tense . The pandemic has now more than ever highlight the craft interdependency amongst countries and oppugn the strengths and helplessness of securities industry traditionally referred to as major power in the grimace of crisis of this nature . It also highlights the critical persona logistics entity play in the restoration of market place and barter through the provision of relief supplies such as aesculapian supply , pharmaceutical , PPEs and in worst hit areas – backup solid food .
The COVID-19 pandemic has reaffirm the critical role that effective supply chains play in resolve spherical crisis such as these and renovation of trade and economies .
author : Siginon Group
