Global Logistics Bottlenecks Keep Agricultural Freight Costs Elevated Despite Partial Suez Recovery
Persistent port congestion, container imbalances and route disruptions are keeping ocean freight costs elevated for agricultural shippers even as some trade lanes through the Red Sea and Suez Canal show signs of partial normalization, according to CMB News.
Ocean freight costs for agricultural commodities remain elevated despite a partial reopening of the Red Sea and Suez Canal corridor, as port congestion, container shortages and uneven carrier routing continue to disrupt global supply chains, CMB News reported on 29 September 2026.
According to the report, a growing share of carriers has restored services via the Red Sea and Suez Canal while others continue to route around the Cape of Good Hope, creating what CMB described as "uneven vessel flows and bunching at major ports." The divergence is preventing a full reset of global shipping networks and keeping freight costs well above pre-disruption levels across most agricultural trade lanes.
CMB News said congestion at leading Chinese export hubs, including Shanghai and Ningbo-Zhoushan, has intensified due to weather-related closures and pre-holiday cargo front-loading ahead of Golden Week. The report noted these delays are being "compounded by isolated labor actions and infrastructure constraints in parts of Europe and by lingering security risks around the Bab al-Mandab strait."
On the bulk side, CMB reported that large crude tankers have "significantly reduced transits via Bab al-Mandab," and while dry bulk traffic has held up better, average crossings remain below earlier levels. The report said higher voyage times and insurance premiums on routes linking the Black Sea, Middle East and Asia are lifting transport costs for grains, oilseeds, fertilizers and edible oils even where FOB prices remain comparatively stable.
The partial reopening of the Suez corridor has increased effective container capacity on Asia–Europe lanes and driven what CMB described as "a sharp retreat in spot freight rates on those routes compared with the peaks seen earlier this year." However, the report noted that transpacific rates remain historically high due to resilient US import demand, weather-driven congestion at Far East ports and blank sailings constraining available capacity.
For agricultural trade flows, CMB said North African and Middle Eastern importers are "increasingly diversifying their wheat and feed grain purchases toward EU suppliers such as France, as Black Sea freight disruptions erode the cost advantage of some traditional origins." The report added that fertilizer importers in Sub-Saharan Africa and South Asia are described as vulnerable to any further increase in freight or insurance costs on Suez-dependent routes.
Among commodities cited as potentially affected, CMB listed wheat and coarse grains, oilseeds and vegetable oils — including sunflower, soy and rapeseed — rice, sugar, fertilizers and containerized specialty food ingredients. The report said longer routes and elevated container and tanker rates increase the cost of shipping oilseeds and refined oils from the Black Sea, South America and Asia into deficit regions, "with potential knock-on effects on crush margins and inter-oil spreads."
Looking ahead, CMB said freight market indicators suggest that while some spot rates on Asia–Europe lanes are easing, "overall shipping costs remain well above pre-disruption norms, particularly on transpacific trades." The report cautioned that port congestion and blank sailings over the upcoming holiday period may prevent a rapid correction even if cargo demand softens, pointing to continued basis volatility and location-specific price dislocations in agricultural markets.
Prepared with AI assistance by Endata and reviewed by the editorial team.
