Freight News, Sea

Shippers pay more and miss first sailings, says survey

[ March 6, 2019   //   ]

A fifth of all peak season shipments require additional fees while around a quarter of shipments fail to make the first available sailing, according to a survey by the Freightos online marketplace.
Freightos surveyed decision makers at some80 logistics providers and cargo owners to find out how they manage ocean pricing volatility, representing companies with over half a billion dollars in annual revenue each; the cargo owners combined 2018 revenue exceeded $360 billion.
The survey also found that three quarters of logistics providers needed to renegotiate or deviate from annual contracts with BCOs to guarantee shipments make it on board the right sailing.
On average, 77% of shipments are moved through annual tenders,10% on quarterly contracts and the remainder on the spot market.

The Evolution of Ocean Freight Procurement [Survey]