BUNKER SURCHARGES SOAR

BUNKER SURCHARGES SOAR    Shippers of containerized freight are facing large increases in bunkers surcharges, as ocean carriers pass on the impact of higher marine fuel prices amid rising tension in the Middle East.
   On the main east/west routes, the latest bunker charges cost between 50 percent and 200 percent more than at the beginning of this year.
   The Canada/Europe conferences have announced increases in their “interim fuel participation” charges. The bunker charges levied from shippers by conference carriers Atlantic Container Line, Canada Maritime, Cast,
Hapag-Lloyd and Orient Overseas Container Line will jump from $66 per TEU in September to $71 in October and $84 in November. In February, the fuel charge was only $31 per TEU.
   The Far Eastern Freight Conference on Thursday (Oct. 3) notified shippers of dearer “bunker adjustment factors” on the Asia/Europe route. Effective Nov. 1, the carriers of the Asia Westbound Rate Agreement, the Eastbound
Management Agreement and the    Mediterranean Rate Agreement will lift their bunker charges from $62 per TEU in September and October to $75 per TEU. In
January, the same carriers had a bunker charge of $50.
   The Trans-Atlantic Conference Agreement, which covers the trade between northern Europe and the U.S., announced bunker surcharge increases in
September.
   For shipments to and from U.S. Atlantic and Gulf port, the transatlantic conference’s bunker surcharges is scheduled to increase to $137 per TEU on
Oct. 16, from $88 in early September and $42 in April.
   The Trans-Atlantic Conference Agreement carriers are Atlantic Container Line, Hapag-Lloyd, Mediterranean Shipping Co., Maersk Sealand, NYK Line, Orient Overseas Container Line and P&O Nedlloyd.
   Shippers with all-in rates locked as part of service contracts will not be asked to pay for higher bunker charges, but they face requests for increases when they renew their contracts.
   The price of oil has risen more than 40 percent this year with fears of a Middle East war.