Maersk to raise surcharge from May 1

Shipments to and from the Indian sub-continent by Maersk Line vessels will be costlier from May 1.

This follows the decision of the world's largest container line to hike piracy-risk surcharges, according to shipping industry sources.

The revised rates will vary from region to region. Thus, the West Asia-Red Sea-Indian sub-continent trade will attract an increased surcharge of $70 for a FEU (40-ft container).

The revised surcharge on cargo shipped to and from the Indian sub-continent, Red Sea, Europe and the Mediterranean will be $110/ FEU and that on trade between the West Asia, the Indian sub-continent, Red Sea, Central America, the Caribbean and South America East Coast will be $170/FEU.

Also, on the trade between the West Asia, the Indian subcontinent, Red Sea and West Coast of South America, the company has decided to boost its prevailing surcharge to $170/FEU.

Maersk Line estimates that the piracy has cost the company an additional $100 million annually due to longer routes and higher speed.

“As a result of increased piracy activity and in the light of our continuous efforts to prevent piracy attacks and protect our crew and cargo, we have revised our emergency risk surcharges to mitigate the expenses incurred while maintaining a reliable and safe services “, the Danish carrier stated recently in a statement.

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