In a dispatch sent to the Minister of Agriculture and Rural Development, VASEP said that member businesses are “impatient” because of high sea freight rates, along with a prolonged shortage of containers with no direction. to handle.
The rapid increase in container freight rates and no signs of “cooling down” in recent times is a topic that has been repeatedly mentioned by related businesses as well as public opinion and media.
According to Bloomberg, with more than 80% of all commercial goods transported by sea, the sharp increase in sea freight rates presents the risk of raising the price of everything from essentials to auto parts to input materials. Industrial production.
In related developments, recently, the Association of Seafood Exporters and Producers (VASEP) has issued Official Letter No. 74 /CV-VASEP to the Minister of Agriculture and Rural Development Le Minh Hoan to report and recommend 8 difficulties, The main inadequacies and obstacles are having a great negative impact on production and business activities and competitiveness of seafood enterprises.
In particular, it is worth mentioning that a very hot issue in recent times is the increase in shipping rates by shipping lines and the shortage of containers for export from November 2020 to now.
TRANSPORT FREQUENCY HAS BEEN INCREASED… 10 TIMES
As reflected from VASEP’s member businesses, over the past time, shipping lines have announced to increase their freight rates from 2 – 10 times (depending on route, depending on carrier), largely due to the high container rental and surcharges.
Specifically, from the end of November 2020, the container rental fee from Vietnam (for both dry and refrigerated containers) has increased dramatically. In some ports, prices have doubled the following month from the previous month and are almost six times the price at the beginning of 2020.
Along with that, even sea freight rates from other countries are increasing to a record high.
For example, according to Bloomberg, the shipping fee for a 40-foot container from Shanghai (China) to Rotterdam (Netherlands) on May 27, 2021 has reached USD 10,174, 3.1% higher than before. week and increased 485% over the same period in 2020.
The aggregate price index of eight major shipping routes in the world has also increased by nearly 300% over the same period last year, putting importers and exporters in a difficult situation. In the US and elsewhere this year, many shippers have been charged more than $10,000 per container.
Besides, at the end of October 2020, many container shipping lines such as Wan Hai Lines Ltd., Heung A Line, Interasia, Yaming Shipping Vietnam, Sinokor (Vietnam) … simultaneously sent notices to their beloved customers. demand to increase the Rate Retoration (RR) surcharge for container goods exported from Vietnam to Asian markets. The increase is from 50 – 200 USD/cont and will start to apply from November 1, 2020, just a few days after the date of sending the notice.
T&G International Joint Stock Company
Address: 352 Hue Street, Le Dai Hanh Ward, Hai Ba Trung District, Hanoi
Hotline: 0345786803
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