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Why BAF is failing the container industry, the next step in bunker costs recovery

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Shipping

Platts Dirty Tankerwire

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Europe 0.5% sulfur bunker fuel demand reaches tipping point

Listen: Why BAF is failing the container industry, the next step in bunker costs recovery

With the looming shadow of IMO 2020 on the horizon, there is a growing confusion and discord in the container market when it comes to recovery of bunker costs in freight contracts. The Bunker Adjustment Factor (BAF) system is failing and the industry is looking out for new solutions. Jason Silber, global head of Platts Ocean Intelligence and Alex Younevitch, managing editor, freight markets at S&P Global Platts discuss these unique challenges faced by the container market and the new Platts Bunker Charge indexes.

To access Platts container indexes and analytics, register for a free web app at: https://containers.plattslabs.com