Cancelled voyages take the sting out of spot rate declines this week
Container freight spot rates maintained their downward trajectory this week, as tariff uncertainty continued to ...
© Tebnad | Dreamstime.com - Oil rig
By Mike Wackett
With oil prices plunging to less than $20 per barrel, ocean carriers are coming under increased pressure to cancel their bunker surcharges and introduce negative bunker adjustment factors (BAFs) across their networks.
Strict capacity discipline by carriers has supported freight rates on the major tradelanes to compensate for recent demand slumps, but shippers complain that the lines are still charging BAFs – and IMO 2020 low-sulphur surcharges – despite the precipitous decline in fuel prices.
Due to the logistics costs of supplying ...
Comment on this article
Michael Wilcox
April 23, 2020 at 11:59 amgreat article on BAF