We are witnessing an ongoing trend of demand for airfreight exceeding airline freight capacity. This is also the time of year when many global companies launch new products in time for Black Friday and Christmas shopping (for example Apple and Sony launching the iPhone 12 and Playstation 5, respectively), further impacting the strained situation.
This means that airlines cannot give contract proposals that extend over time, but only daily prices that should be seen as rate indications. Conditions can only be determined at the time of booking with the airline’s acceptance.
With reference to our latest newsletter, dated October 6th, we note that the strained situation has not improved but on the contrary, an unusually strong demand in the market has exacerbated the situation. There is still a very large shortage of equipment in India, Bangladesh, Vietnam and the majority of the ports in China, and vessels are fully booked. We strongly recommend to place bookings in good advance.
Based on the above and valid from November, the shipping companies are now announcing further cost increases with reference to PSS (Peak Season Surcharge). The cost is imposed for all cargo from Asia the Indian subcontinent, forcing us to pass on the cost towards the paying party of freight.
Please contact us for any further details,
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