Intra-Asia Market: Bunker Adjustment Factor (BAF) Update Effective 1 January 2022
With reference to our previous advisory dated 31 August 2021, please be advised that Very Low Sulphur Fuel Oil (VLSFO) will replace the current High Sulphur Fuel Oil (HSFO) as the price reference for the quarterly Bunker Adjustment Factor (BAF) for long-term contracts of more than 3 months’ validity.
For Intra-Asia market, CNC will be applying the BAF variance (Floating) instead of the full BAF quantum. Accounting for the variance between the BAF quantum for Q1 2022 (USD147/TEU) and the quantum for Q4 2019 (USD87/TEU)*, please be advised that CNC will be applying the following Floating BAF from 1 January 2022 until further notice.
|Flat Rack/ Open Top/ Tank/ Other Special Equipment||USD||60||120||120|
Floating BAF will be applicable on top of CNC's ocean freight charges for long-term contracts of more than 3 months’ validity.
The quantum for BAF applicable is available online on http://www.cnc-ebusiness.com/ebusiness/tariffs/charge-finder (CNC Charges Finder – Main Charges).
For more information, please contact your local CNC representative. Thank you for your business and continued support.
*Benchmark for Floating BAF is always based on BAF quantum for Q4 2019.