Subscribe to Updates

    Get the latest creative news from FooBar about art, design and business.

    What's Hot

    April 28, 2024

    April 28, 2024

    April 28, 2024
    Facebook X (Twitter) Instagram
    Trending
    Facebook X (Twitter) Instagram
    Hote NewsHote News
    • Health Science
    • Lifestyle
    • Politics
    • Reel
    • Sports
    • Travel
    • Worklife
    Hote NewsHote News
    Reel

    Freight Prices Soar 80% as Red Sea Journeys Resume

    December 29, 2023
    Share
    Facebook Twitter LinkedIn Pinterest Email

    The cost of shipping goods has again grown significantly as freight giants continue to avoid the key Red Sea route and unions expand protections for mariners.

    Freight prices rose 80% in the past week, having already gone up nearly 50% the week before.

    The most widely used measure of freight cost, the Shanghai Containerised Freight Index (SCFI), increased to $2,694 (£2,113) per container, up from $1,497 (£1,177) last Friday 22 December, according to data given to Sky News by global logistics company, DSV.

    Not since 30 September 2022, 15 months ago, had the price been so high.

    The index measures the average cost of a 20ft container being shipped from Shanghai to Europe.

    Higher shipping prices influence the sums being paid at checkouts and can have an inflationary impact, as most goods will spend at least some time at sea on their journey to consumers.

    The Red Sea is a key supply artery which has been made increasingly dangerous as Yemen’s Houthi militants, in support of Palestine, have attacked boats they believe to be supplying and exporting from Israel.

    Avoiding the area can add up to two weeks to a journey time, as the alternative is to travel down and around South Africa via the Cape of Good Hope.

    Price rises come despite the second largest container shipping firm, Maersk, recommencing some Red Sea journeys and the commencement of Operation Prosperity Guardian – a US-led multi-national naval force created to fend off attacks.

    Other firms, including the biggest container transportation company, Mediterranean Shipping Company (MSC), are continuing to divert vessels.

    Please use Chrome browser for a more accessible video player


    Houthi rebels

    2:32

    Global economic crisis looms as Red Sea attacks disrupt global shipping.

    Another cost factor at play is the major expansion of ships impacted by the warlike area designation made by unions and industry.

    More protections were given to seafarers – and higher insurance bills resulted for operators – when the UK Warlike Operations Area Committee (WOAC) – made up of unions Nautilus International and the RMT, along with industry representative, the UK Chamber of Shipping – on Wednesday extended Red Sea recommendations.

    Now, any boat that is owned by a company trading to Israel, or has called at a port in Israel since 21 June, or is scheduled to call at a port in Israel, or has any other established link to Israel, or has had at any time since 21 June 2023, has to pay mariners more for their work onboard and give them the right to refuse a Red Sea journey without being fired.

    Previously, only ships with an owner or management connection to Israeli-owned companies came under the requirements.

    Post Views: 5
    Related Posts

    April 28, 2024

    April 28, 2024

    April 28, 2024

    Leave A Reply Cancel Reply

    Top Posts

    Controversial Israeli Video Sparks Gaza Hospital Information Battle

    November 14, 2023

    April 28, 2024

    Met Police commander sacked for failing drug test

    November 1, 2023

    European Council President calls for revival of multilateralism

    November 1, 2023
    About Us
    About Us

    We’re impartial and independent, and every day we create distinctive, world-class programmes and content which inform, educate and entertain millions of people in the UK and around the world.

    Email Us: info@hotenews.com

    Facebook X (Twitter) Instagram Pinterest YouTube LinkedIn WhatsApp TikTok Discord Telegram Threads RSS
    Our Picks

    April 28, 2024

    April 28, 2024

    April 28, 2024
    Most Popular

    Controversial Israeli Video Sparks Gaza Hospital Information Battle

    November 14, 2023

    April 28, 2024

    Met Police commander sacked for failing drug test

    November 1, 2023
    © 2025 Hotenews
    • Privacy Policy
    • Get In Touch

    Type above and press Enter to search. Press Esc to cancel.