Air freight rates soar by 50 pc in Singapore due to congestion

Singapore’s local firms are now paying up to 50 per cent more for air freight compared to the start of the year. They’re switching from sea to air cargo to avoid months of shipping delays caused by congestion in ports around the world. With cargo planes packed for the next two months, industry players expect air freight rates to continue going up, especially as they head into peak delivery season. Singapore’s container port is experiencing its worst congestion since the pandemic. This disruption is a consequence of ships rerouting around Africa to avoid attacks. The situation is causing delays and bottlenecks in ports across Asia and Europe. Data from maritime firm Linerlytica reveals that global port congestion is at an 18-month high. As of mid-June, over 2.4 million TEUs were waiting at anchorages, with 60% located in Asia, as per a report.