The Panama Canal is facing a major problem. There isn't enough rain, and that is making it hard for ships to get through.

This vital shortcut connects the Atlantic and Pacific oceans. Normally, thousands of ships use it every year to move goods around the world. But right now, an event called El Niño is causing a severe drought in Panama.

Because of the drought, there isn't enough water to fill the locks that lift and lower ships. To save water, the people in charge are limiting how many boats can cross each day.

This is bad news for everyone. When fewer ships can get through, it creates a traffic jam. Ships have to wait much longer, or they have to travel a much longer way around the tip of South America. This burns more fuel and takes more time.

It is getting very expensive, too. In fact, one company recently paid $4 million just to skip the line and get to the front of the pack. When shipping gets this expensive and slow, companies often pass those costs on to you. This means the items you buy at the store—from fresh fruit to electronics—could get more expensive.

This is a big test for the global supply chain. As long as the drought lasts, expect more delays at this crucial shipping shortcut.

Source: DW.com