Freight rates continue global upward trend
According to the Port Authority of Valencia, freight rates are continuing to rise internationally owing to a number of variables, including a container shortage and the United States' economic pull.
The main factors behind this increase are the strong demand for marine transportation with a scarcity of empty containers, also the lack of capacity and equipment, as well as the high prices of fuel.
Except for the Eastern Mediterranean, the Valencia Containerized Freight Index (VFCI) is rising in all regions, Latin America Pacific has the largest growth up to the 25%. According to the port authority's president's projections, stabilization will not occur until the end of 2022.
Aside from the Port of Valencia's index, two other freight indexes have also demonstrated similar global pattern in freight rate increases. Since the beginning of the year, the Shanghai Containerized Freight Index (SCFI) has nearly doubled, and the Ningbo Containerized Freight Index (NCFI) showed an increase as well.
Vivi Dara
New liner services potential on the Asia - NAWC trade
According to shipping experts at Sea-Intelligence, freight costs on the NAWC trade channel have risen to score high levels, indicating a huge potential for carriers not just to full to capacity boats on existing liner routes but to establish new lines. The non-alliance services, grew rapidly in August 2021, according to the Danish researchers.
There are 13 new on-alliance services will be available in 2021 as the Sea-Intelligence report shows, Also it is predicted that in the coming days the non-alliance services will represent approximately a third of Asia-NAWC capacity. With container supply failing to keep up with demand and freight prices at all-time highs, carriers stand to gain an apparent advantage.
Furthermore, the research revealed that carriers may be trying to take advantage of the current climate by offering solo services, knowing that they would not only be capable of filling the boats, but will also be able to obtain very high freight rates.
Antonis Karamalegkos
Shanghai airport terminal closure leads logistics firms to expect cargo delays
Shanghai Pudong International Airport's freighter restrictions, which began on Friday, are still in force after the Shanghai Health Commission confirmed five additional COVID-19 cases among cargo employees.
According to Ligentia, one of the airport's terminals, PACTL, was closed owing to the new instances, with roughly one-third of trips out of PVG airport impacted. Due to China's quarantine procedures, Shanghai Pudong airport was only functioning at 33% capacity prior to the closure.
Due to this policy, the affected cargo planes will not be able to depart from the airport until the zone is declared safe. For that, China has taken extensive measures in order to contain the spread of COVID-19, putting a pressure on the country's already restricted aviation freight capacity. In addition, the logistics companies predict some delays which will affect their businesses especially for mechanical and electrical goods which presented a big share of Shanghai's exports last year.
Max Garland
Increased auctions free Chittagong box yard and increase customs authority revenue
The Chittagong Port Authority and Chittagong Customs have increased their efforts to auction cargoes on a periodic basis to ensure free up space in port yards and prevent containers from being occupied for an extended length of time.
During the latter few months of each month, at least two auctions are organized to put tension on importers to ship containers at the right time. Unless importers accept delivery of boxes or request time, the port authority delivers containers from boats to customs for auction after a specified number of days. After the appropriate processes have been completed, the customs authorities will hold an auction.
On the 26th of August, the Chittagong port's auction yard held an auction for 87 cargo lots. On the 12th of August, 76 lots of cargoes were also auctioned. According to a shipping agent representative in Chittagong, Bangladeshi shippers have a constant shortage of actual sized equipment for exporting products, particularly 40-foot containers.
Container News Team
Suez Canal box terminal investments to boost productivity
APM Terminals has stated that a series of investments starting in 2020 at the Suez Canal Container Terminal to improve equipment and capacity, with a solid relationship with the Egyptian government.
The $60 million investment is divided among initiatives aimed at improving efficiency and customer services, which makes the canal the only terminal in the country that can serve simultaneously two mega ships.
Customers of the terminal's shipping lines will have more possibilities to recover their network schedules as a result of the crane capacity enhancement project. Additionally, the Egyptian terminal has completed a gate extension, increasing its monthly handling capacity over 50,000TEU.
The Egyptian port has indeed set a weekly record in container handling, with 95,579TEU on the quay in week 33, while keeping the same gate movements per hour of 30.04. This is thanks to the latest enhancements for future development.
Vivi Dara
