Freight: a silver lining on the horizon for feed additives A combination of supply chain events have created more volatility and higher additive prices; they range from the extended spring holidays in China, costly grains, sugar and oil, as well as dysfunctional freight markets and lockdowns in Hebei, Hubei, Heilongjiang, and elsewhere.
“Markets got quiet as Chinese producers left early for Spring Festival and record-high freight costs and record-low schedule reliability made several suppliers postpone deliveries,” said Stefan Schmidinger, head of business development and markets at procurement, trade and intelligence platform, Kemiex.
Kemiex just got listed in a market data platform by US-based CME Group, one of the world s largest commodity and derivatives exchanges.
Alexander Kliem - Pixabay A rush to get containers back to Asia to reduce shortages at key export ports has now left the Port of Los Angeles with its own shortage, according to Container xChange.
Adding to the Port of Los Angeles’ woes of congestion, Covid outbreaks and labour issues, the US gateway port has seen acute excess of boxes change to a shortage in a period of just seven weeks.
“While earlier in the year the high-volume US box import port was overwhelmed with boxes, now there is a dearth,” said Dr. Johannes Schlingmeier, ceo of Container xChange.
The Port of Los Angeles had an average surplus of 0.64 according Container xChange’s Container Availability Index, any value of over 0.5 being a surplus.
After a bumpy 2020, an end to the equipment shortage is in sight. A positive trend of the Container Availability Index, with values of 0.34 for 20DCs and 0.37 for 40DCS, could make Chinese New Year the turning point. Container xChange – January 25, 2021 | For months, containers were extremely scarce across China, and .