Oil and currency surcharges (BAF/CAF) are charged separately to adjust for additional costs due to fluctuations in oil prices and/or exchange rates (USD).
The calculation of the BAF-CAF rate shall be made on the basis of:
- Bunker price trend
- Exchange rate trend
- Balance for subsequent calculation
The Surcharge is calculated from Royal Arctic Line’s prices on the oil- and currency market and reflects the development of these based on actual numbers (backdated)
On the invoice, the oil and currency surcharge (BAF-CAF) to the customer is calculated as a percentage (BAF-CAF rate) of the sum of:
- Ocean freight (NTFR)
- Handling at the port of dispatch (THCL)
- Handling at the port of arrival (THCD)
The applicable oil and currency surcharge (BAF-CAF) rate is currently 23.25%.
Royal Arctic Line does not profit from the oil and currency surcharge, which exclusively is used to secure the company from the effect of oil prices and currency risks.
For more information, contact customer service on +299 70 15 01 or email@example.com.