Niels Erich, consultant | Jun 25, 2018 3:48PM EDT
Given bunker price volatility and spotty surcharge collection, it makes little economic sense for ocean carriers to sign contracts without separate, floating bunker surcharges. On the other hand, shippers don’t want to pay for increases not allowed under all-in rate or no-adjustment contracts. One solution may be a standardized, transparent, bunker surcharge formula.