Global sea freight rates heading for relative stability: FIATA

Global sea freight rates are expected to stabilise after significant increases since last November, according to Turgut Erkeskin, President of the International Federation of Freight Forwarders Associations (FIATA).
The challenges in maritime shipping impact air freight as well, leading to higher prices compared to pre-COVID levels, he told Emirates News Agency (WAM) on the sidelines of the FIATA-RAME (Region Africa Middle East) held in Dubai.
Erkeskin anticipates an increase in sea freight capacity and volume, potentially stabilising prices. While some routes remain unaffected, others, particularly in Africa and Europe, have seen significant rate hikes. He said that economic growth forecasts suggest a 2.4 percent increase in 2024, influencing logistics and freight operations globally.
Foreign direct investment is shifting towards regions like the Middle East and Africa, impacting logistics activities, according to Erkeskin. The conference is essential in addressing current global supply chain challenges by bringing industry stakeholders together to improve supply chain efficiency and resilience. Dubai’s role as a major global trade hub adds significance to the event. Erkeskin emphasised the importance of alternative solutions to enhance global supply chain resilience and efficiency. These solutions include creating new trade routes, and alternative transit corridors, and leveraging digital transformation to boost the effectiveness of transportation and logistics processes.