Shipping Boxes To India In A Deglobalising World

With the rise of irredentist powers in Russia and the Far East, globalisation is stalling. Countries still need each other because of the combined economic momentum of the last 70 years, but national objectives and security are now taking precedence over citizens enjoying more money in their bank accounts. It appears that we are moving back to the pre-war world where powers exerted their authority regionally, without the US Navy keeping the peace. 

This process has profound implications for international shipping. Maritime trade routes may no longer come under American protection as it struggles with debt, internal conflict, and a declining share of world GDP. 

However, it is unlikely that the deglobalisation cycle will be as dramatic as it was in previous eras of conflict. Populations are much higher and countries are highly dependent on sea lanes for food, fuel, and agricultural inputs remaining open. China would experience the worst famine in human history if it could no longer reliably maintain trade with the oil-rich Arab nations to sustain its agricultural production. Parts of Europe would also struggle, as well as Southeast Asia, most of Africa, and Latin America to get the resources they need to maintain functioning societies. 

So where does this situation leave people wanting to ship boxes to India? The answer is mixed and depends considerably on the transport infrastructure that exists after the shift occurs. Air freight will likely remain unaffected, even under extreme deglobalization, since aircraft can always bypass warzones and marauding, missile-wielding pirates. Diplomats, officials, the military and vacationers will still want to move internationally, meaning that airport infrastructure will likely remain. 

The Technology Is There

Image Credit: Borderpolar Photographer on Unsplash  

The technology to move goods is also now at a highly developed stage, reducing the cost for anyone wanting to send a parcel to India (or anywhere else in the world). Improved transportation technologies and efficiencies mean that freight services can generate more efficiency than ever before.

According to the box shipping service, Seven Seas Worldwide, this is improving the experience. “International consumer freight is now a highly developed market, mainly because of the effects of migration,” the company says. “Indians and other nationals living overseas want to send boxes back to their home countries at special times of the year. For many, it is an annual event.”

“Some companies like ours are making the process of sending boxes easier by offering things like free quotes and standard containers. Customers can choose their shipping dates as they please and they don’t have to deal with shipping and customs issues. In most cases, agents can do that on their behalf. It all means that the market for these services is poised to grow substantially over the coming years, provided the world remains a secure place.”

Long Distances Can Be Overcome

Transporting parcels from Europe or the US to India requires long journeys. Freight from Europe and America usually passes through the Mediterranean, the Suez Canal, and the Red Sea before going around the Arabian coast and finally winding up at ports on India’s west coast. Freight can traverse the Pacific from America’s west coast, but it is a long journey and may require overland transport. 

Air freight operates differently. Flights are more direct and can route via trusted international airports for frequent refueling. 

Is There Demand For International Parcel Freight? 

The demand is undoubtedly there for international freight. Consumers want the option to send packages to destinations across the globe, particularly as migrant populations become wealthier and want to share their success with those living back home. 

“We’re seeing an uptick in Indians living overseas wanting to send parcels to their home country,” Seven Seas Worldwide says. “It’s an enormous market, with billions of dollars of goods flowing to the country to support workers’ families. Demand is particularly high in and around festival seasons, such as Diwali. People want the option to send packages of various sizes at low cost, and they want to do it quickly. It has a critical cultural dimension.”

E-commerce is partly to blame for the increased demand for parcel freight to India. Expats have become used to home deliveries and are now adapting the idea of sending gifts to their families overseas. 

“The shift in priorities reflects the growth of the e-commerce industry,” Seven Seas Worldwide says. “It’s become a force of nature, and now has a tremendous impact on people’s decision-making. It’s hard to imagine that international parcel shipping would be as popular as it is now on social media if it wasn’t for online retailers building the technologies and capacities to make it possible.”

Where Does Deglobalisation Come Into The Picture? 

Analysts are predicting deglobalisation because of emerging power blocs and challenges to U.S. hegemony. America may no longer be able to act as the world’s policeman, or it may lack the political will to do so for much longer. When this occurred in the past, the world slipped back to autarky, with countries producing the goods they needed within their borders. 

However, international parcel shipping will almost certainly remain. That’s because most wealthy Western countries today have gigantic immigrant populations, far in excess of anything they had historically. The demand for continued communications with home countries, like India, will persist. And this fact could prevent deglobalisation from continuing to its maximum level, just like inter-state dependencies. 

All this means that parcel companies are feeling bullish about the future. “At Seven Seas Worldwide, we feel optimistic about the future of the parcel shipping business. It’s clear that demand is growing and shipping is still prepared to operate in contentious areas.”

Even if things go seriously wrong, it is likely new navies will come to take the place of the U.S. to patrol the world’s oceans. China and Japan may protect vessels in East Asia, the U.S. in the Atlantic and Eastern Pacific, Europe in the Mediterranean, and India and Australia in the Southern Hemisphere. Combined, these geopolitical factors should mean that basic parcel shipping to India remains, even if larger shipments of goods are reduced significantly. 

(Devdiscourse's journalists were not involved in the production of this article. The facts and opinions appearing in the article do not reflect the views of Devdiscourse and Devdiscourse does not claim any responsibility for the same.)