A very expensive gamble due to sky-high container prices: reed trader Van Rees from Genemuiden imports uninsured reed from China by bulk ship. A risk of a few million. “It can keep you awake at night if you’re working on such an operation.”
Container prices are skyrocketing. With freight costs of $17,000 per container, importing reed from China by the usual route is simply not worth it. ,,The value of the reed on board is between 6000 and 7000 euros”, says Girbe van Rees of reed trade Jos van Rees & zn. from Genemuiden.
“Transport will therefore be two to three times as expensive. Then there will no longer be 8,000 euros on a house in one go, but for 25,000.” Before the corona pandemic and the blockage of the Suez Canal last March, the price per container was a fraction of what it is now. One tenth to be exact, $1700 per container.
In order to be able to meet the high demand, Van Rees, together with a number of other reed traders, took a big gamble. In China they had 10,000 bales of reed loaded into a bulk carrier to be shipped to the Netherlands.
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