29MAR2019 - NEWS - Baltic Exchange opts to keep its benchmark shipping indices unchanged ahead of IMO 2020 regulations

The Baltic Exchange has recently opted to keep its benchmark shipping indices unchanged, despite calls from some market players for the data provider to include fuel cleaning systems that vessels can fit due to a major regulatory change next year. From January 2020, UN shipping agency the International Maritime Organization (IMO) will ban ships from using fuels with a sulphur content above 0.5 percent, compared with 3.5 percent now, in one of the biggest changes in the oil and shipping markets in decades. Only ships fitted with sulphur-cleaning devices known as scrubbers will be allowed to continue burning high-sulphur fuel. The London-based Baltic Exchange, whose indexes for global shipping rates are also used by the multi-billion dollar freight derivatives market, said on Wednesday that after extensive consultation with members and market participants its indices would show “non-scrubber fitted” vessels in its descriptions.

Published by Editor - www.Livebunkers.com at 29-Mar-2019 06:55:34 [UTC] , contact editor at editor@livebunkers.com