Shippers on the alert as Ukraine crisis prompts emergency fuel surcharges

SHIPPERS are bracing for a raft of emergency bunker surcharges from ocean carriers , as oil prices hit eight - year highs . Following Russias invasion of Ukraine , the price of crude oil has soared to its highest level since 2014, to more than US $105 a barrel , with  analysts predicting $130 within weeks , reports London ＇ s Loadstar . Meanwhile , Rotterdam - sourced low - sulphur fuel oil ( LSFO ) spiked by more than $30, to $731.50 a tonne , a 40 per cent increase since December . The Loadstar understands an emergency BAF was being considered by carriers before the events of last week , but according to a carrier source , the die is now cast on surcharge hikes .＂ Many of our contracts have a BAF calculator  built in , but for our spot and short - term deals , we have no option but to try to recover as much of the extra cost as possible ," he said . In addition , a UK - based NVOC contact  confirmed to The Loadstar he had been warned  about the introduction of an emergency BAF " within weeks ", and that his carrier account 
 manager had phoned with ＂ good and bad news " on his March / April shipments from China .