Advisory on international logistic disruptions and the increase of freight costs

The closure of airspace, ports, and key logistics hubs, combined with restrictions on fuel supplies, has reduced overall transport capacity. This situation is leading to delivery delays and substantial increases in freight costs, particularly for supplies produced in Asia that are now being rerouted through alternative pathways in Europe.

Through PAHO's Regional Revolving Funds (RRF), freight cost increases of between 20% and more than 100% have been observed across air and maritime transport, along with average delivery delays of approximately one week. Additional impacts are possible in the coming weeks, depending on the evolution of the global situation.

In response, the Regional Revolving Funds continue to work closely and in a coordinated manner with suppliers and logistics partners to prioritize critical shipments, adjust routes as needed, and keep ministries of health and consignees informed of any changes to delivery plans in a timely manner.

In this context, PAHO RRF respectfully encourages Member States to review their scheduled shipments, assess inventory levels, and consider postponing or rescheduling the dispatch of non-essential or non-urgent products until the situation stabilizes. This approach will help mitigate additional costs and ensure that limited logistics capacity is reserved for essential health supplies.

PAHO RRF remains available to review specific cases and to engage directly with countries regarding planned shipments, as needed.