The logistics cost of the goods is mad
 Apr 29, 2021|View:323

The initial signs of the annual cargo contract negotiation negotiation negotiations between the owner and the carrier have shown that the cost of the owner pays by the main trade route, the highest is three times the last year.

Considering the extent of all major trade routes, shipping companies are fully absorbing shipping costs, in order to obtain leverages in crazy capacity competition, which is not surprising.

According to Norwegian Price Based Website Xeneta's MD Patrik Berglund, the average price between Asia and the US West Coast is approximately $ 2030 / Feu, an increase of 33% over last year.

The average price of long-term contracts between Asia and Nordic rose by 192%, reaching $ 3,904 / feu. According to Xeneta's data, the average annual return from Europe to Asia has increased by 30%.

From Asia to Europe, the average price of more than $ 7,500 / feu (including congestion surcharge), the shipper is urgent to find determinism in this market, and they are preparing for the 521st logistics budget.

Retailers such as Dollar Tree have warned investors that they are expected to pay up to 80 million to $ 100 million in additional logistics costs by 2021. So far, demand soaring and price increase support the retailer's profitability.

Seaintelligence Consulting CEO Lars Jensen said, "They can choose to sign the contract with a much higher than the price level so far, and then it is likely to get the cabin and containers. Or, they can choose to enter the spot market, I hope the freight rate can be quickly Falling - If your luck is good, this strategy may work, but it may also lead to their goods being trapped, can't take away. "

The shipper suffered from heavy creation throughout 2020 and 2021, and US consumers were out of control, making shipping companies with a strong status in annual contract negotiations.

A survey conducted by FREIGHTOS on the participating shippers and third-party logistics companies, many shippers are praying for a low price, rather than locking themselves than a long price over last year.

"From the situation we have seen, due to the continued level of freight rate, it continues to maintain a very high level - since the Suez incident, the freight rate in Ya-Meixi coast is three times ago, the shipping cost of the East coast has increased. 8%, reaching 6,248 US dollars / feu. "Judah Lavine, head of Freightos Research, said.

"We have found that some companies have been eager to obtain long-term contracts with higher prices to ensure that they have some form of stability, but we found that BCO goods owners plan to avoid being locked more than three years ago. In very high annual freight. "