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Index-linked contracts catching on?
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Tuesday, January 22, 2013
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Adoption of index-linked contracts for container freight is growing, says Martin Dixon, research manager for freight rate benchmarking at London-based Drewry Supply Chain Advisors. He believes “it is quite conceivable that by 2020 most container shipping contracts will be index-linked.” That’s a bold prediction. Last May, the U.S. Federal Maritime Commission found just 61 service contracts that were linked to indexes and Dixon estimates 100 such contracts have been sig...
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