What is the World container Index?

What is the World container Index?

The World Container Index (WCI) is the premium resource for frequent, independent container market data. The WCI provides weekly assessments of container freight rates, daily forward price estimates and a bank of historical price movements.

What is the Global freight rate Index?

The index measures global container freight rates by calculating spot rates for 40-foot containers on 12 global tradelanes. It is reported around the world as a proxy for shipping stocks, and is a general shipping market bellwether. The FBX is currently one of the most widely used freight rate indices.

What is the Drewry index?

The Drewry World Container Index (WCI) measures the bi-weekly ocean freight rate movements of 40-foot containers in seven major maritime lanes. It is expressed as an average price per 40-foot container (in US$). There is also a global price that is an average across all seven lanes.

What is the index for container shipping?

The average composite index of the WCI, assessed by Drewry for year-to-date, is $8,475 per 40ft container, which is $5,006 higher than the five-year average of $3,469 per 40ft container.

How much has ocean freight increased 2021?

Ocean freight rates continue to set new highs in 2021 Ocean freight rates have soared greatly for all trade routes since September 2020 due to the ongoing impacts of the COVID-19 pandemic. The freight rates in August reached $10,174/FEU, an increase of 466% on the previous year.

How is the World container Index calculated?

Index values are calculated by taking the median price for all prices (to ignore the influence of outliers on active lanes) with weighting by carrier. 50 to 70 million price points are collected every month.

Are container prices going down?

Since the start of the pandemic, the cost of shipping has increased significantly. In the past month, however, container shipping costs have fallen by about 12%, according to the Drewry World Container Index.

Why are container prices so high?

The question remains: why is shipping so expensive in 2021? The primary reason for the sudden spike in the price of shipping is the world’s ongoing nemesis: COVID-19. The pandemic affected global supply chains in 2020, and shipping prices reflect that.

What is FEU shipping?

FEU is an acronym used in logistics, which means ‘Forty Equipment Unit’.

What is TEU in shipping?

TEU is an acronym used in logistics, which means ‘Twenty Equipment Unit’ or in other terms a ’20-foot container’.

How much does it cost to ship a container overseas?

The cost to ship a container overseas is between $2,000-$3,000, but this varies greatly. The cost depends on the cargo volume, if you’re shipping by air or sea, the distance shipped, the destination port, and the time of year.

Why is the Baltic index falling?

Jan 11 (Reuters) – The Baltic Exchange’s dry bulk sea freight index (. BADI) dropped to its lowest level since April 2021 on Tuesday, weighed down by weaker demand across all vessel segments.

What is freight Baltic index?

What is ‘Baltic Freight Index’ Definition: BALTIC Freight Index (BFI) is a leading indicator of spot dry bulk cargo rates. It is not a shipping index, but an indicator of the bulk cargo market. It is calculated by the Baltic Exchange, based in London, a key market for the global shipping business.

What is the Supramax index?

Baltic Supramax index

Why is China freight so high?

So, you have a pandemic-induced increase in ecommerce, plus lockdown restrictions forcing idle ships and empty containers just sitting at port, plus China being among the first economies to recover from COVID, hence sending in a lot more products into Western markets than it is shipping in.

Will freight rates go up in 2022?

After a year in which freight rates continued to set new highs, spot rates are on the decline in 2022 with experts pointing to a series of factors likely contributing to an ongoing decline.

Why shipping cost is high from China?

Shipment Imports from China So while container availability has anyway shrunk drastically through the pandemic there is a huge demand for containers in China and the freight rates too are substantially high there. This has also contributed significantly to the price hike.

How is CBM calculated for shipping?

The CBM formula is a simple calculation – it’s the product of: quantity of items * length * width * height. If your shipment has different sized items, simply repeat the formula for each size and add up the volumes.

How is FBX calculated?

FBX is calculated using the Buy Rates Ocean Carriers offer to large Freight Forwarders, or NVOCCs, or large shippers (BCOs) who are using the Freightos Applications*. FBX calculation includes only tariff prices offered by Carriers to large Freight Forwarders.

How are sea freight charges calculated?

The CBM factor used for ocean freight is 1 CBM = 1 ton. In this example, the actual ton weight is less than the volumetric weight (CBM) and hence, the ocean freight charges are calculated based on the CBM.