Update: 29.11.2023
Month-long protests in Panama are showing signs of ending after a ruling by the Supreme Court of Justice yesterday.
According to a Kuehne+Nagel advisory, protesters began clearing roadblocks in some areas, bringing hope that supply-chain disruptions will begin to improve.
Beginning in late October, protestors and roadblocks hindered road transport on both coasts of Panama, delaying container movement. The limited availability of truckers has been a challenge, especially for empty container returns, causing delays in future bookings. In addition, gensets - power supply for reefer containers - have been in short supply.
Ports maintained their normal operating hours from 7:00 am to 5:00 pm during the protests.
In a turnaround ruling yesterday, the Supreme Court declared Law 406 unconstitutional, dissolving the contract between Panama's government and Canadian mining company First Quantum, which sparked public protests in October.
According to Reuters, protest groups announced on social media that they would continue with demonstrations until the ruling was published in the official gazette. In a statement, the Supreme Court said that this would be done immediately once the sentence is enforceable.
Update: 14.11.2023
Labour organisations in Panama have continued to protest in the past few weeks, and experts expect them to continue through late November.
The protests have mainly impacted road traffic as activists continued to block main streets to disrupt traffic.
No impact was reported on port operations so far, and the loading and unloading of vessels are operating normally.
However, access to ports on the Atlantic remains blocked, and trucking services are very limited.
Due to road closures around the country's ports, import deliveries and export pick-ups beyond certain zones are not available.
For more details, please refer to the Kuehne+Nagel advisory (Spanish and English) or contact your local Kuehne+Nagel representative.
Original article: 26.10.2023
Earlier this week, protests broke out in Panama against the contract concluded between the government and the Canadian mining company First Quantum, which seeks to exploit copper in a forested area north of Panama.
The Associated Press reported that construction workers and educators took to the streets to demand the repeal of the contract because of the environmental risk it would present.
In addition, demonstrators are calling on the government to end the high cost of food and gasoline.
Vessel-related operations at Panamian ports remain unaffected at this stage, Kuehne+Nagel sources confirm in an advisory (Spanish and English).
However, road transportation is hindered by obstructions on the main roads and corridors, disrupting access to ports on the Atlantic. In addition, there are severe trucking shortages, with average delays in truck availability ranging between 3 to 4 days.
Some carriers reported vandalism by a small group of protesters, including robbery from drivers and theft of some loads. As a result, the Panamanian transport union announced a complete stoppage motivated by acts of insecurity against all the personnel.