'Ever Given' floats again but backlog at Suez Canal continues  

Aftersevendays of dredging and tugging,it's green light at the Suez Canal.The massive container ship'Ever Given'is floating again.It's good news for Egypt and for the global economy,but it has also been a learning curve.

One ship was able to freeze global trade.One blocked canal spurred a run on the oil market.

The rear of the ship was re-floated but the front remained firmly stuck.Multiple tug boats were working overtimebut it was Sunday's high tide that proved to be a game changer.Officials said the next 24 to 48 hours would be crucialand they were right.Thanks to somefavourabletide and some more tugging, the vessel was back in deep waters.

It has been taken to a location outside the canal for inspectionandmore importantly, trade has resumedas hard as it was to dislodge the ship.The mission is only half done.The tailback at the Suez Canal is massive.Every second lost is worth its weight in thousands of dollars.425 ships were stuck at both ends of the canal.Egypt is planning to keep the Suez open 24x7 to clear the backlog.

Even then it could be days before traffic easesbut here's another problem.These vessels were not sailing to the Suez Canal.They were sailing through it,so when they reachportanother hold-up could be on the cards.

Forsevendays,the'Ever Given'held up cargo, both commercial and humanitarian.The estimated cost of this hold-up?9.6 billion dollars every dayand for Egypt,this was a national crisis.

The country normally earns between 12 and 14 million dollars from the canalevery day.

Last week,this income disappeared.So,the canal workers were rightly over-joyed.They found their own unique way to celebrateby sounding the foghorns in their tug boats.The coast is clear quite literally this time.At the end of the day,modern technology and human ingenuity pulled throughbut not before a stern test.

The'Ever Given'is a big ship.It weighs 200,000tonnesand is 400-metre-longand as high as the empire state building.So,the obvious question iswhat was a ship this size doing in theSuezCanal?

This is an artificial waterway.The canal is more than 150-year-old.Recently,it has undergone many upgrades.So theoretically,it should have been smooth sailing for the'Ever Given'but it wasn't.

The ship's owners say strong winds pushed the vessel ashorebut canal authorities suspect human error,there is an investigation underway.So,we should have the answers soonbut should a gust of wind be able to topple the world economy?

It's not exactly the sign of a robust system.The Suez Canal is too big and important for its own good. Fifty ships sail through it every day.

In 2020,a total of 19,000 vessels used it,ferrying 1.17 billiontonnesof cargo.The canal services 12% of global trade.The bigger they are, the harder they fall.This time,it was a multi-billion dollarfall.

So,what are the alternatives?

Right now,there isn't any,the Suez Canal saves time, cost and fuel.It shortens the voyage from Europe to Asia by around a week.That's like dog years in global trade.The alternative is to sail around theAfricancontinent.Experts agree that in this day and age,it is simply not feasible.The Suez Canal has been blocked beforein 2004.It was shut forthreedaysforsame reason.

An oil tanker,Tropic Brilliance,was stuckbut it wasn't a billion dollar traffic jam.Because back then, the stakes weren't this high.Today,weare living in the age of containers.Shipsarebigger than our tallest monuments.

It pays to operate these mammoth vessels.In one trip,you can transport goods worth millions of dollars.The'Ever Given',for example,was carryingonebilliondollars worthof goods.

It's a system set-up for mishaps like this one.The ship may have moved but this story is far from over.The oil traders are watching closely.Exporters are weighing their optionsand wait till insurance companies get the bill.The Suez Canal is not just any other waterway.It is steeped in history,not just economic but political as well.

The last time,there was a Suez crisis was more than half a century back.The world we live in was shaped by that crisis.This one may not be as significantbut it raises crucial questions about the world economy.