Impact from Baltimore bridge collapse will be felt in Kentucky, supply chain expert says

Tuesday’s cargo ship collision, destroying a Baltimore Bridge will have an economic impact on central Kentucky.
Published: Mar. 28, 2024 at 5:26 PM EDT

RICHMOND, Ky. (WKYT) - Tuesday’s cargo ship collision, destroying a Baltimore Bridge will have an economic impact on central Kentucky, according to an EKU supply chain management expert.

Now that commercial shipping in the Baltimore harbor is at a halt. He says the ripple effect will hit everything from farmers, building supplies to your grocery bill.

“I think people throughout central Kentucky can expect this is going to lead to higher prices,” said Dr. James Kirby Easterling, a professor of supply chain management at Eastern Kentucky University.

Dr. Easterling is the director of EKU’s global supply chain management program. He says the port of Baltimore is known for loading and unloading thousands of cars off those container ships but they also specialize in farming equipment, which impacts Kentucky’s agriculture, especially now that we are heading into growing season.

“That port of Baltimore is where a lot of agricultural type products come in that eventually make their way to us here in central Kentucky.”

In addition, raw materials for construction come off those ships.

“I think the construction industry may experience higher prices as well,” said Dr. Easterling

Dr. Easterling estimates that 45 ships can’t get out of the harbor due to the collision.

The other problem, he says, is those ships at sea coming to the eastern shore can’t just dock at any other port to unload.

“Even though it may be the closest geographically that port may not have the infrastructure to be able to accept the product from a neighboring port,” Dr. Easterling said.

Which he says would cause more delays.

“I think it really shows the complexity of supply chains and logistics overall,” said Dr. Easterling.

More than likely, all of this will affect your pockets at the checkout.

“Whether it’s our grocery bill, our fuel bill, whether it’s our bill from going to Lowe’s to Home Depot, to a weekend warrior project that we are doing at our own home. I think we can all expect that this is not going to do anything but cause those prices to inch upward,” said Dr. Easterling.

Dr. Easterling says he hopes these supply chain issues have a short-term effect, but he says he’s not sure.