'Oil spill, flooding create perfect storm' for commerce, shipping, says supply chain professor

Science Daily: The oil spill in the Gulf of Mexico and epic flooding in Tennessee have created a "perfect storm" for businesses that rely on an efficient supply chain, according to a University of Rhode Island professor. In addition, the volcano in Iceland is causing unprecedented interruptions in the ability of businesses in Europe and the Baltic regions to ship goods via air transport, said Douglas Hales, associate professor of operations and supply chain management in URI's College of Business Administration.

In New Orleans and other Gulf Coast communities the impacts of the spill may only be beginning. "Seventy percent of the coffee shipped to the United States goes through the Port of New Orleans," Hales said. He would expect coffee prices to escalate if a solution is not found soon.

Large freighter ships can move through oil slicks, but Hales said protective booms must be moved and the ships themselves will drag oil with them. While the booms are moved, oil can move closer to the coastline. "It's not easy to re-route these huge vessels," Hales said. "Traffic is still moving in and out of the Port of New Orleans because the heaviest slicks haven't reached there yet."

However, he added that smaller recreational boats and those used for commercial fishing and touring cannot operate in the slick because they will draw oil-contaminated water into their engines. "The old paddleboats based in the Mississippi Delta will have to cease operations, too.

"It's going to be over for recreational and commercial fishing within the next few weeks if the spill is not stopped," Hales said. "Crude oil is like tar. The most efficient thing to do would be to burn the oil, since many of the dispersion agents in use are extremely toxic. It's either that, or let it spread to the beaches. Of course, a nasty cloud would be produced from the burning, which could also affect air quality and tourism throughout the Gulf."…

From NASA's Earth Observatory, this close-up view of the Deepwater Horizon drilling rig explosion aftermath shows waves on the water surface as well as ships, presumably involved in the clean up and control activities.