HAMBURG, May 4 (Reuters) – Low water levels after recent dry weather are preventing cargo vessels from sailing fully loaded on the Rhine river in Germany with surcharges added to the usual freight rates, commodity traders said on Monday.
Low water is hampering shipping on all of the river south of Duisburg and Cologne, including the chokepoint of Kaub, traders said. At Kaub, cargo vessels can only sail about 50% full, in northern regions 60-70% full depending on vessel type.
The Rhine is an important shipping route for commodities such as grains, minerals, ores, coal and oil products, including heating oil.
Shallow water means vessel operators impose surcharges on freight rates to compensate for vessels not sailing fully loaded, increasing costs for cargo owners. It also means loads must be spread among several vessels sailing part loaded, also increasing costs.
Rain forecast for the next week in river catchment areas means that some improvement could be in sight, traders said.
German companies faced supply bottlenecks and production problems in summer 2022 after a drought and heat wave led to unusually low water levels on the Rhine.
(Reporting by Michael Hogan in Hamburg, editing by Kirsten Donovan )
Comments