( – FocusAsia Media Ltd)


BRUSSELS, Jul 12 (FAM) – European importers sourcing from China could realise major savings by shifting from long-term ocean freight agreements to short-term shipping contracts in the months ahead, according to Patrik Berglund, CEO of container shipping market intelligence platform Xeneta, who reported “a pattern of companies going on shorter contract durations”.

Over the last 18 months on the China Main Ports-North Europe Main Ports trade, he said there had only been a brief window when it was beneficial to be in the short‑term market rather than using long-term contracts – defined by Xeneta as contracts of three months’ duration or more. According to Berglund, this was because the gradual, although volatile, increase in rates over much of the last 18 months on China-North Europe trades had tended to favour long-term freight products.