# Port Report: Draft restrictions push Panama Spread to unseasonal high - FreightWaves

> A five-month drought in Panama has cut the Panama Canal's capacity, and the canal authority will lower the maximum draft for Neopanamax locks to 43 feet from next week. Carriers are limiting containers to 8-10 metric tons instead of 10-12, which is pushing up rates for U.S. East Coast-bound cargo.

- Date: 2019-05-20 · published 2019-05-20T12:00:00.000Z
- Category: logistics · region Panama · magnitude medium
- Page: https://feedsoft.ai/events/58986-port-report-draft-restrictions-push-panama-spread-to-unseasonal-high
- Commodities: [Ocean Grain Freight](https://feedsoft.ai/c/OCEANFRT.md)

## Why it matters

Fewer tons per ship and higher transit costs tighten container capacity and lift freight rates on Asia to U.S. East Coast routes, which raises the landed cost of feed ingredients and can widen U.S. export basis.

## Read by commodity

- OCEANFRT: bullish ▲

## Sources

- freightwaves.com: https://www.freightwaves.com/news/port-report-draft-restrictions-push-panama-spread-to-unseasonal-high

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