Concern over impact of soaring sea freight costs on trade in Vietnam

It is feared that the lack of empty containers, disruptions caused by the Red Sea conflict and rising transport demands could push up sea freight rates to the records set during the COVID-19 pandemic, according to a domestic news outlet.

Rates are rapidly rising and even changing within a day, said Pham Quoc Long, president of the Vietnam Ship Agents, Brokers and Maritime Services Providers Association.

Shipping lines normally quoted container freight rates earlier for 15-30 days, but now they quote only for a week.

Current rates are double but are still five times lower than during the COVID-19 pandemic.

Long urged domestic charterers to join together so that they could have better negotiate with carriers.

The ministry of transport recently asked Vinamarine to work with port companies, associations and shipping lines to figure out problems and offer possible solutions.

Vinamarine has asked supervision to be enhanced on the collection of port services charges and surcharges in addition to container shipping fees.

Efforts also need to be enhanced to prevent congestion at ports, ensure the supply of empty containers and speed up the release of goods.

Fibre2Fashion News Desk (DS)