The Suez Canal Authority (SCA) has released an updated version of its fixed rebate scheme, according to ship agent Leth Agencies.
Oil product tankers, chemical tankers, and other liquid bulk tankers were added to the fixed rebate scheme. A total of 11 new fixed rebates were added, 24 other fixed rebates were extended for another six months, and four rebates were adjusted, according to Leth which cited the SCA.
The updated fixed rebates will reduce the total freight cost, especially for oil product, chemical and LNG tankers that transit through the Suez Canal, freight participants said. It typically takes 1-2 days for vessels to pass through the canal, which is one of the main transit points for oil and LNG heading from the Middle East to Europe and the Americas, and for Atlantic basin cargoes heading to Asia-Pacific. Flows through the Suez Canal and Egypt's Sumed pipeline account for around 10pc of global seaborne oil trade, according to the EIA.
The updated rebates will apply to vessels transiting the Suez Canal on specific routes from 1 July and are valid until 31 December.
Oil product tankers from the US Gulf and the Caribbean will be entitled to:
- a new 20pc rebate when headed to the west coast of India, from Karachi port in Pakistan to Cochin port in India.
- a new 60pc rebate when headed to ports east of Cochin port, up to Port Klang in Malaysia.
- a new 75pc rebate when headed to Port Klang and Asia-Pacific.
Chemical and other liquid bulk tankers from the east coast of North America, consisting of ports located north of Miami port, will be entitled to:
- a new 15pc rebate when headed to Cochin port up to Port Klang.
- a new 25pc rebate when headed to Port Klang and Asia-Pacific.
Chemical and other liquid bulk tankers from the US Gulf, Caribbean, and South America will be entitled to:
- a new 25pc rebate when headed to the west coast of India, from Karachi port to Cochin port.
- a new 55pc rebate when headed to ports east of Cochin port, up to Port Klang.
- a new 75pc rebate when headed to Port Klang and Asia-Pacific.
LNG tankers from the east coast of North America will be entitled to:
- a new 10pc rebate when headed to the west coast of India.
- a new 35pc rebate when headed to ports east of Cochin port.
LNG tankers from the US Gulf, Caribbean, and South America will be entitled to:
- a revised 30pc from the previous 25pc rebate when headed to the Mideast Gulf and the west coast of India until Cochin port.
- a revised 60pc from the previous 55pc rebate when headed to ports east of Cochin port, up to Port Klang.
- a revised 75pc from the previous 70pc rebate when headed to Port Klang and Asia-Pacific.
Crude oil tankers from the US Gulf and the Caribbean will be entitled to:
- a new rebate of 20pc when headed to the Mideast Gulf, starting from Omans' Sur port to Karachi port.
- a revised 25pc from the previous 30pc rebate when headed to the west coast of India.
