# Panama Canal: Drought threatens one of the world’s most important shipping routes | Euronews

> The Panama Canal Authority has limited the largest vessels for the fifth time this drought season, as low rainfall has cut water reserves in the Alajuela and Gatun lakes. The authority says the reduced draft of Neopanamax vessels is affecting canal business.

- Date: 2023-04-26 · published 2023-04-26T12:00:00.000Z
- Category: logistics · region Panama · magnitude medium
- Page: https://feedsoft.ai/events/36305-panama-canal-drought-threatens-one-of-the-world-s-most-important-shipping
- Commodities: [Ocean Grain Freight](https://feedsoft.ai/c/OCEANFRT.md)

## Why it matters

Draft restrictions on the largest ships raise per-tonne freight costs on US Gulf to Asia grain routes, which supports ocean freight rates and export basis.

## Read by commodity

- OCEANFRT: bullish ▲

## Sources

- euronews.com: https://www.euronews.com/2023/04/26/panama-canal-drought-threatens-one-of-the-worlds-most-important-shipping-routes

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.