Ports

Panama Canal Relief Offers Limited Respite as Weather Pressures South American Trade

The Panama Canal authority restored neopanamax transit capacity to 10 daily passages after improving water levels, offering exporters temporary relief following September restrictions. The authority increased maximum draught allowance by one foot to 49 feet, though older lock transits remain capped at 23 daily passages.

Seaboard Marine is capitalizing on the easing by launching a new West Coast South America service to the U.S. East Coast, with the first vessel arriving at Gloucester City, New Jersey on October 25. The route connects shippers in Chile, Peru, and Ecuador directly to the U.S. northeast.

However, weather challenges persist elsewhere in the region. Peru's blueberry growers association has reduced export forecasts by 4.2% due to warmer temperatures and anticipated rainfall, despite a 15% increase in cultivated area. Northern Peru's grape producers face reduced yields and smaller fruit sizes from similar climatic pressures.