The China Coastal Bulk Freight Index (CCBFI), a barometer of the shipping market, has been rising for the past six weeks and freight prices for coal and grain have doubled in about 30 days, according to data released by the Shanghai Shipping Exchange, China Securities Journal reported.
The CCBFI closed at 1,808.61 points last week, a big increase from the last week of October, when the index stood at 1,113.51, the report said.
Analysts said the shortage of coal reserves in power plants in southern China has resulted in this round of freight price hikes, as the demand for coal shipping has increased.
The bad weather in the north has caused huge overstock at harbors, which has also triggered the rise in prices. The recent price rise of coal has led to high expectations for next year's coal shipping prices, which is another factor behind the freight price jump, according to the report.