Although the aid was much needed, it was also reported that some 200 trucks had been waiting on the Egyptian side of the border for days and it left people questioning why only a small convoy had been allowed through.

So how does the humanitarian supply chain work, and what other impacts might occur to the overall global supply chain as the conflict escalates?

It’s important to note that the global supply chain and humanitarian supply chain are two separate entities. At the time of writing, the global supply chain was still operating in the region as per usual and through the region’s  three biggest ports, with some congestion beginning to become noticeable at the port of Ashdod (the closest large container port to Gaza) as security checks are heightened. 

Humanitarian aid, however, is not being shipped via Ashdod port. I spoke with a former clinical innovation specialist in the humanitarian sector, who explained “aid will typically be directed to the nearest safe capital, rather than the closest, and often it is held across the nearest border to the zone that requires it”. Al Arish in Egypt is where further aid is currently being held for transport, and the Egypt-Gaza border of Rafah is the entry point for aid convoys.

The current United Nations estimate on how much aid is required is “at least 100 trucks daily” to “cover urgent life-saving needs”. So why were only 20 allowed passage?

One of the key differences between the global supply chain and humanitarian aid supply chains is that the global supply chain has a great deal of permanency around it.

It has a full time workforce in a plethora of varied roles; logistics professionals, stevedores, supply chain managers, maritime lawyers, who work in their areas to achieve the most efficient outcomes. Your maritime lawyer might be working on your lost bill of lading, while somewhere across the globe a supply chain manager is doing a route analysis to generate the best and shortest route a vehicle should take in its role in the supply chain link. This workforce is cohesive, plentiful (mostly), and working with permanent routes, ports, containers, and infrastructure.

Although humanitarian aid also has a permanent workforce, organisations often rely heavily on volunteers and that deployment can take time. They also often lack permanent infrastructure, supplies and, perhaps most importantly here, routes. Negotiating these things, in addition to working out the logistics side, can take time.

At this stage that route to Gaza is not permanent, though the World Health Organisation, United Nations and humanitarian agencies are calling for a permanent humanitarian corridor to remain opened and protected from any fighting.

And the usual global supply chain?

It might be too early to predict what effect this conflict will have on the global supply chain, and given how dynamic the situation is it would be foolish for any of us to state anything as fact here.

What we can look at, however, are some of the concerns that have been raised in the industry amongst supply chain experts.

As I mentioned above, the port of Ashdod is currently experiencing congestion and a backlog of container ships was reported last week in Reuters. The security checks are slowing things down, and the port was reported to have imposed restrictions on hazardous goods that has further impacted transit times. 

Ashkelon port (the nearest terminal to Gaza) was closed at the time of writing and further closures, restrictions or congestion at ports local to the region could also lead to delays in transit times and the export of electronics, pharmaceuticals and other equipment to consumers. 

For now, these are not affecting consumers, but if the conflict remains ongoing this may change. We may also see things such as increases in insurance costs for carriers, and those war risk premiums being passed further down the supply chain.

With 6 major and minor specialised ports in play, handling around 58 million tons and 3.63 million TEUs of cargo annually, the supply chain and suppliers might also see further impacts in the import of bulk cargo grains, oils, petroleum and export of citrus fruits, machinery, textiles, manufactured goods, chemicals, fertilisers, automobiles and and general cargo.

We are no longer in the set-and-forget days of the 20th century industrial revolution.  Business as usual is a fallacy for the blissfully unaware.

Ask questions, assume nothing, check everything twice and rinse and repeat.

In this business, permission is everything, and relying on the forgiveness of insurers is terrible business practice.

(Note: All information was correct at time of writing on 24/10/2023)