• 2018 October 12 14:03

    CMA CGM to introduce new quarterly BAF for long term contracts from 1st of January 2019

    Bunker is one of the most important costs for a container shipping line. IFO 380 price has increased considerably over the last 12 months with a 40 % year to date increase compared to 2017 average. On top of the above a new IMO (International Maritime Organization) low sulphur regulation will be applicable to all container shipping companies as from 1st of January 2020. It will set a maximum sulphur content threshold of 0.5% for marine fuels over 100% of the sea distance for any maritime services, including between Africa and Europe.

    To be compliant with this new regulation, CMA CGM will use low sulphur fuel (LSFO) and the cost per ton is expected to be significantly higher than IFO 380, the company said in its press release.

    CMA CGM will introduce a new quarterly Bunker Adjustment Formula (BAF) for long term contracts starting from 1st of January 2019.

    Methodology:
    Quarterly revision, based on IFO 380 bunker average price or LSFO depending on contract duration.

    Implementation:
    This new quarterly BAF will be applied for all contracts with validity period above 3 months starting as from January 1st, 2019.

    BAF quantums:
    Based on the average tonnage of fuel consumed on Africa-Europe trade, the following quantums will be applied depending on the fuel price fluctuation.

    Below table is only given as an example of BAF quantums per container size. Official BAF tariffs for Africa to Europe trade will be communicated at a later stage as per applicable regulations.
    BAF


    *Above figures are based on CMA CGM Fleet deployment on Africa to Europe route as of Q3 2018.

    Bunker reference:

    IFO 380 price is the reference for Africa-Europe Bunker Adjustment Formula. CMA CGM is using one single IFO 380 reference for all trades, below is the weight of each port worldwide: 40% Rotterdam IF0 380, 50% Singapore IFO 380, 10% Houston IFO 380.

    As from the second half of 2019, to be compliant with the IMO regulations effective on January 1st, 2020, CMA CGM will start bunkering the new LSFO 0,5% sulfur at a cost that is unknown for time being. The adjustment falling into 2020 will therefore be based on the variation between the average cost of one ton of IFO and the average cost of one ton of LSFO 0.5% at the date of review.




2019 February 22

18:08 Pacific Fleet AS-34 underwater vehicle practises maneuvering in Kola Bay
17:50 Krasnoye Sormovo launches first ship in new RSD59 series of four ships ordered by STLC
17:35 CMA CGM announces FAK rates from Asia to the Middle East Gulf
17:05 Bilfinger expands in international maritime scrubber market
16:35 Aker Solutions to develop digital twin for Wintershall’s Nova field
16:12 Chiquita's new container ship pays its first visit to Kloosterboer in North Sea Port
15:31 DOF awarded contracts for three ROV Support Vessels in Brazil
15:12 Biggest wellboat in the world’s hull arrives at Havyard yard in Leirvik
14:55 Zaliv shipyard (Kerch) launched search-and-rescue ship of Project А163
14:12 Tideway completes installation of longest AC offshore wind export cable at Hornsea One in the UK
13:48 32 vessels escorted by icebreakers in eastern part of Gulf of Finland during 24 hours on February 21-22
13:30 GTT creates a Digital Hub of Excellence in Singapore
13:04 The Spectrum of the Seas leaves the MEYER WERFT's dock
12:49 Sea Port of Saint-Petersburg upgrades its cane equipment
12:30 Port of Rotterdam bunker figures down to 9.5 million m3 in 2018
12:03 Algoma announces purchase of additional product tanker
11:30 Van Oord is one of the founding partners and main sponsor of PortXL
11:02 Fincantieri and Abu Dhabi Shipbuilding reach an agreement to cooperate in the UAE shipbuilding segment
10:30 Mitsubishi Shipbuilding holds christening ceremony for next-generation LNG carrier "MARVEL CRANE"
10:20 Port of Yeisk handled 159,000 tonnes of cargo year-to-date
10:00 CMA CGM implements Port Congestion Surcharge from Med and North Europe to Canada East Coast
09:58 The Netherlands ratifies ship recycling convention
09:35 Brent Crude futures price is down 0.24% to $66.91, Light Sweet Crude – down 0.16% to $56.87
09:17 Baltic Dry Index is up to 630 points

2019 February 21

18:33 AML’s MVP200 selected for new Swedish “RV Svea”
18:16 ​Shearwater GeoServices and TGS partner for major Brazil survey
18:03 NYK selected as a White 500 company for third consecutive year
17:55 Rosmorport to dredge 12.1 million cbm of material in 2019
17:34 Boskalis expands market position in marine survey through acquisition Horizon
17:29 GE to supply LM2500 gas turbine auxiliary equipment for Indian Navy’s P17A frigates
17:11 Hydrographic Company to get 15 new vessels by 2024
17:05 Rotterdam port innovation programme PortXL participants announced
17:03 H.H. Sheikh Theyab updated on ADNOC L&S strategy to become a global shipping champion
16:14 SCHOTTEL presents new shallow-water thruster SPJ 30 up to 150 kW
15:35 Forth Ports Group receives planning consent for new terminal at the Port of Tilbury
15:16 Algoma announces the Algoma Conveyor is headed for Canada
14:32 A.P. Moller - Maersk accelerates transformation and grows revenue in 2018
14:11 Teekay Tankers reports fourth quarter and annual 2018 results
13:46 Santos posts it 2018 net profit of $630 million
13:15 Gazprom Neft demonstrates solid growth across all key financial indicators in 2018
13:13 A.P. Moller - Maersk initiates demerger and separate listing of Maersk Drilling
12:49 ESPS Relampago’s crew carried out maritime training exercises with the Seychelles Coastguard
11:57 First meeting of Eastern Partnership LNG Network takes place in Warsaw
11:28 42 vessels escorted by icebreakers in eastern part of Gulf of Finland during 24 hours on February 20-21
11:03 The UK publishes draft UK MRV legislation following Brexit
10:39 Taganrog Sea Commercial Port spent USD 60,500 under its social programme in 2018
10:16 IMO treaties ratified by Guyana
09:54 Allocations of Taganrog Sea Commercial Port for its environmental programme in 2018 totaled USD 96,400
09:31 Brent Crude futures price is up 0.18% to $67.2, Light Sweet Crude – up 0.51% to $57.45
09:15 Baltic Dry Index is down to 622 points

2019 February 20

18:13 Klaipėdos nafta carried out the 10th operation of reloading LNG from a gas carrier to ground storage tanks
17:52 VNIIR-Progress St. Petersburg supplies electrical equipment for Atomflot icebreaker
17:28 Documents on concession model for Taman dry cargo area project to be submitted to RF Govt in March 2019
17:04 Cammell Laird stages ‘float-off’ for new £10m ferry for Red Funnel
16:46 VTMS, AIS and Pilotage Service on the Northern Sea Route to remain under Rosmorport’s control
16:25 NOVATEK eyes arranging LNG bunkering in Sabetta
16:04 Maersk enhances Asia-Europe network to further improve schedule reliability
15:43 Decision made on transfer of FSUE Hydrographic Company to Rosatom Corporation
15:21 Euronav sells LR1 Genmar Сompatriot
14:54 SIA Extron Baltic receives award for rapid growth in the Port of Riga