What happened in the Suez Canal over the past week was a global economic loss. Though we managed to have some fun with it, with the memes and all, it was still catastrophic at the end. The canal had 425 ships at bay, and the canal is responsible for 12% of the world trade, ultimately forcing it all to be on hold. To prevent such events from happening ever again, Egyptian President Abdel Fattah Al-Sisi, made a statement.
An estimated $9.6 billion worth of merchandise was held off throughout the duration of the canal’s blockage, between Asia and Europe, according to Jordan Times. Consequently, Egypt lost $12 to $15 million in revenue daily while the waterway remain impassable. Thus, leading to an urgent plan on how to avoid another similar crisis in the future. In conclusion, Egypt has ruled out the idea of widening the canal. Instead, it decided to make a necessary investment by purchasing equipment and hardware, allowing for more a efficient and faster solution when taking the necessary actions required.
Egypt has spent more than $8 billion for widening a segment, and creating a second lane in 2014 and 2015. Currently, the widening would be “economically useless,” stated Al-Sisi. Instead, the country will be buying dredgers and new tugboats, as that has proven to be successful in this recent experience. Egyptian authorities referenced the freeing of Ever Given as clear evidence of the country’s engineering and salvage capabilities. Between 180 to 200 people worked on the sights 24 hours a day, whilst up to 2,000 workers provided outside services. The salvage team dug up around 18 meters in width around the ship, 12 meters in depth, and the matter required the use of over 10 tugboats, as well as dredgers.
President Al-Sisi made this statement one day after the clearance of the canal, and though he didn’t specify what hardware would be bought, the Suez Canal is in need of additional dredgers and tugboats.