War risk surcharges costs Israel Economy over US$600,000 per day

In recent years shipping companies charged US$9 per TEU / US$18 FEU as war risk surcharge. This has been increased to US$115 – 220 per TEU / US$440 per FEU
 
Estimates made by the Israel's Shippers Council show that the economic damage to the economy made by the extremely high war risk surcharges is at least US$15 millions per month, (NIS 70 millions) compared to US$800,000 per month before the war.
 
Mr. Gad Sheffer, chairman of the council, noted that the estimates were made for the container trade only and suggests that the government will have to step in and declare it would insure vessels calling at Israeli ports.
 
In a letter to Mr. Eli Ishay, Minister of Industry, Trade & Labor, Sheffer added that in recent years shipping companies charged US$9 per TEU / US$18 FEU as war risk surcharge. This has been increased to US$115 – 220 per TEU / US$440 per FEU.
 
Sheffer also noted that based on 2005 container figures, on average each TEU pays US$175, thus if we assume that each day some 3,500 containers move through the ports, the total daily damage to the economy is over US$600,000.