--- title: Drought slows ships at Panama Canal, disrupts business supply chains description: Severe drought conditions have slowed ships passing through the Panama Canal, delaying shipments and causing supply chain issues for businesses. image: https://afb.accuweather.com/hubfs/panamacanal.jpg --- [Skip to content](https://afb.accuweather.com/blog/drought-slows-ships-at-panama-canal-disrupts-business-supply-chain#main-content) [![accuweather-business-white-01](https://afb.accuweather.com/hubfs/Website/accuweather-business-white-01.svg "accuweather-business-white-01")](https://afb.accuweather.com/) - [Learn & Support](https://afb.accuweather.com/learn-support) Learn & Support [Overview](https://afb.accuweather.com/learn-support) - [Case Studies](https://www.accuweather.com/en/news/case-studies) - [Webinars](https://www.accuweather.com/en/blogs-webinars/welcome-to-accuweathers-webinar-hub/1692349) - [Press Releases](https://corporate.accuweather.com/newsroom/press-releases/) - [Blog](https://www.accuweather.com/en/news/blogs-webinars) [![accu-winter-events](https://afb.accuweather.com/hs-fs/hubfs/Website/accu-winter-events.jpg?width=90&height=90&name=accu-winter-events.jpg)](https://afb.accuweather.com/webinar-winter-risk-mitigation-services) Webinar [Take the Worry out of Winter: Risk Mitigation](https://afb.accuweather.com/webinar-winter-risk-mitigation-services) [![accu-hurricane-events](https://afb.accuweather.com/hs-fs/hubfs/Website/accu-hurricane-events.jpg?width=90&height=90&name=accu-hurricane-events.jpg)](https://afb.accuweather.com/blog/hurricane-relief-tips-how-your-business-can-help-without-becoming-a-victim) Blog [How your business can help without becoming a victim](https://afb.accuweather.com/blog/hurricane-relief-tips-how-your-business-can-help-without-becoming-a-victim) - [Let's Get Started](https://afb.accuweather.com/lets-get-started) - [Learn & Support](https://afb.accuweather.com/learn-support) - [Case Studies](https://www.accuweather.com/en/news/case-studies) - [Webinars](https://www.accuweather.com/en/blogs-webinars/welcome-to-accuweathers-webinar-hub/1692349) - [Press Releases](https://corporate.accuweather.com/newsroom/press-releases/) - [Blog](https://www.accuweather.com/en/news/blogs-webinars) [Home](https://afb.accuweather.com/)  /  [Featured](https://afb.accuweather.com/blog/tag/featured)  /  [Education](https://afb.accuweather.com/blog/tag/education) # Drought slows ships at Panama Canal, disrupts business supply chains Posted by [Adrianne Burke](https://afb.accuweather.com/blog/author/adrianne-burke) on Aug 24, 2023 ![panamacanal](https://afb.accuweather.com/hs-fs/hubfs/panamacanal.jpg?width=2000&name=panamacanal.jpg) Summary ## Severe drought conditions have caused a backlog of ships in the Panama Canal, delaying shipments and causing supply chain issues for businesses. Key Highlights #### Fewer ships are getting through the waterway, causing a major delay in shipments reaching the U.S. #### The backlog is delaying goods from large retailers and could ultimately drive up consumer prices. #### It’s important for businesses to have a contingency plan in place to maintain continuity. ## Ship Slowdown A severe drought and lack of rain are causing a major back-up of ships waiting to go through the Panama Canal. That means fewer ships are getting through the waterway, causing a major delay in shipments reaching the U.S., impacting the supply chain and business operations and driving up prices. [AccuWeather For Business](https://afb.accuweather.com/) urges companies to have a contingency plan in place to maintain continuity.  This year’s drought is worse than anything officials in the area have seen before, and the extended dry season has reduced the amount of water in the canal.  Officials controlling the Panama Canal reduced the number of ships passing through to a daily average of 32, which is down from the normal average of 36. The backlog is delaying goods from large retailers and could ultimately drive up consumer prices.  [>>READ MORE: Tips on how to navigate the impacts of drought conditions on businesses](https://afb.accuweather.com/blog/tips-on-how-to-navigate-the-impacts-of-drought-conditions-on-businesses) ## How to prepare for supply chain disruptions These disruptions can result in loss of business, contracts and customers. Businesses lose billions of dollars annually because they are not properly prepared. Here are five tips to prepare for supply chain disruptions.  1. **Create an emergency plan:** Having a backup plan and preparing for supply chain disruptions is always a good idea. For example, have extra financial resources and design a plan to move goods and supplies to prevent and prepare for potential disruptions. 2. **Build up inventory:** Stockpile several months of essential supplies, so your business can survive disruptions. If supply chains are disrupted, you may have to store goods and materials needed to maintain your business. 3. **Diversify suppliers and identify backup vendors:** Come up with other suppliers that can give you what you need if your current supplier can't get goods to you. You may have to diversify suppliers and find suppliers in different geographic locations to get you what you need. That way, you'll always be able to get what you need if there is a disruption. 4. **Incorporate risk management:** Utilize technology and experts to evaluate potential threats to your supply chain. Understand where you may have supply chain disruption that could affect product quality, pricing and availability. 5. **Communicate with Customers:** Customers want their products. Make sure you plan to communicate earlier rather than later when there are delays or disruptions. ## Here is where AccuWeather For Business comes in.  Accurate weather forecasts, backed by[Superior Accuracy™](https://afb.accuweather.com/blog/give-your-business-the-advantage-of-accuweathers-superior-accuracy), customized alerts and risk assessments enable proactive decision-making and resource allocation. AccuWeather's superior forecasts and warnings allow companies to plan better and keep their teams and customers safer. We have saved 10,000+ lives, prevented 100,000+ injuries and saved companies tens of billions of dollars. Want to learn more about how we can help your business navigate and prepare for drought conditions? Let's discuss how we can protect your business and assets. [Contact us](https://afb.accuweather.com/contact) today. 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