BUNKER surcharges will hit US$776 per TEU in June, up from the previous record of $766 applied by the EU banned Far Eastern Freight Conference, says Paris based maritime consultant Alphaliner.

    Increases come as oil prices near $100 a barrel, up 15 per cent from a year ago despite a recent commodity sell off. Thus far, June's bunker adjustment factors (BAF) run from $703 per TEU to $832, according to Alphaliner's survey of 12 carriers.

    Bunker World says a run up in the price of bunker fuel peaked at the end of April after an index for basic 380-grade bunker soared more than 50 per cent over the previous six months. The index has slipped back five per cent in the last week.

    Between 2008 and 2011 average fuel prices have increased 186 per cent while the average BAF charge from Asia to North Europe has increased by 227 per cent, Alphaliner said.

    "BAF has remained a bone of contention for shippers, who argue it is used by shipping lines to generate additional revenue," Alphaliner said. "Carriers maintain that it is used to recover additional bunker costs linked to unexpected fluctuations in the price of fuel."

    Put another way, carriers will pass on soaring fuel costs to customers, but not savings from slow steaming, said Alphaliner.

(Source:http://www.schednet.com)