DP World’s deputy Chief Executive stated that ships not linked to Israel could begin returning to the Red Sea in as little as two weeks, reports Reuters.
Sea freight prices could fall 20%
In a statement to Reuters at the World Economic Forum meeting in Davos, Switzerland, Yuvraj Narayan, Deputy Chief Executive, DP World, stated that ships not linked to Israel could begin returning to the Red Sea in as little as two weeks, adding that freight prices could “come crashing down”.
“Sea freight prices could drop at least 20%, 25% and that could happen over two to three months,” said Yuvraj Narayan. Narayan added that it is hard to predict a specific timeline for this however.
However, shipping companies like Maersk, Hapag-Lloyd and MSC have stated that they do not see an immediate return to Red Sea as they monitor the situation closely in the Middle East in order to ensure the safety of seafarers and predictability in their services.
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Source: Reuters
