An Interview with Scarbrough Leadership
The first quarter of 2024 witnessed the industry's ongoing adaptation to global economic conditions, logistical challenges, and technological advancements. From spot and contract rate increases and container import growth (notably ending a five-quarter decline) to the continuing correction for capacity oversupply and reduced freight demand. We positioned our technology assets to ensure that Scarbrough continued to close new business and expand our ability to provide financially sound and timely services to our customers.
Looking ahead to Q2, as companies seek to mitigate disruption risks and manage inflationary impacts on costs, Scarbrough will continue to develop its visibility software offerings and work on reporting designed to give supply chain insight regarding forced labor, carbon emissions, and other concerns. We expect to see a shift towards nearshoring and reshoring, driven by the desire to shorten and bolster supply chains, and are working towards unified digital strategies to help customers take advantage of these changes.
For the remainder of 2024, we will be carefully examining innovations in data science (including IoT, analytics, and AI), material science (such as electric vehicles), and engineering (autonomous vehicles). The digital space offers ongoing opportunities to do more, more efficiently and our goal is to determine how best to make use of those innovations to provide the most value for our customers.
Our main focus through the first quarter of 2024 was the continuous adoption and implementation of new technologies. We are constantly working to leverage technology to streamline our business practices and to extend those improved efficiencies to our customers. Companies around the world are adopting technology more than ever, but they are also being more selective than ever with the technology they choose to purchase and develop. At Scarbrough, we’re no different in that regard.
As we start Q2, we are continuing to identify and implement solutions that will make our organization run more efficiently and effectively, while providing a top-of-the-line customer experience that compliments the personal touch that our staff offers every day. We are also focusing on furthering the integration of technology into our everyday operations within all our different business divisions to maintain our flexibility to adapt to the ever-changing needs of our clients. Lastly, we are looking at how we can improve sustainability by developing methods to report on carbon emissions for our customers and making that data readily available to them.
Throughout the rest of 2024, we will continue expanding our use of technology to deliver better communication and resources to our customers for all their logistics needs. We will also ensure that all staff implement our corporate technology solutions in their day-to-day work and processes.
Nick Brenie
Vice President and Managing Director, Scarbrough International (CA)
The first quarter of 2024 saw trade numbers decline across the board in Canada. Continued inflation and the project carbon tax that went into effect April 1 were two of the main culprits leading to the depressed numbers to start the year. Import of goods in January was calculated at 61.8 billion, marking the lowest numbers since February 2022.
In Q2, all of the focus will be on the impending rollout of CARM. Beginning May 13, CARM will be the official system for importers to pay their duties and taxes. Importers must have their CARM Client Portal registered prior to the release date to maintain access to their monthly statements and delegate authority to their Customs brokers of choice.
Looking forward to the rest of 2024, projections forecast a bounce back for the Canadian economy after a slow start to the year. The emergence of new jobs around the country, as well as more investment into the energy and electric vehicle sector have further gained international interest and increased foreign investment and government support. Focus on CARM will also continue throughout the year as CBSA monitors its effectiveness and helps importers work through the first year of the program. Overall, despite a lackluster start to the year, all signs are pointing up for the Canadian economy to finish strong in 2024.