Drewry has launched a new range of fuel advisory and management services which it says are ‘designed exclusively for shippers and forwarders’.
Explaining why the advisory services are being launched, Philip Damas, head of Drewry Supply Chain Advisors, said: ‘Following implementation of the IMO 2020 low-sulphur rule change we have already seen extreme variations in fuel charges between carriers on the same tradelane, for similar ship sizes – even shared vessels. On the Asia-to-US East Coast route, for example, across a sample of five carriers, we saw some had increased their BAFs by as much as 40% in 1Q 2020, whereas others by just 15%.’
Damas continued: ‘We anticipate confusion over the new charges introduced by carriers will continue for some months yet as the market fully adapts to the new fuel standard,” said Mr Damas. “By helping review their existing processes and implement a standard BAF mechanism, covering measurement and adjustment periods, fuel prices and index formulae, we believe shippers and forwarders can gain both clarity and more control over fuel prices - essential pre-requisites to achieving more competitive and successful outcomes from their carrier negotiations.’
As previously reported by Bunkerspot, Drewry published its first low-sulphur reference bunker index tracker at the start of December. According to Damas, the tracker is intended to 'standardise, clarify and simplify the adjustment of Bunker Adjustment Factors (BAFs) between shippers and carriers or forwarders'.