Suez Canal to raise transit fees

Cairo: The Suez Canal’s transit tolls will increase by 15 percent for all types of vessels and 10 percent for dry bulk and cruise ships starting next year, the Suez Canal Authority (SCA) announced in a statement.

The authority said on Saturday that rising energy prices, freight rates, and daily charter rates for ships, predicted to continue next year, are the main reason for raising transit tolls along the vital canal connecting the Mediterranean Sea to the Red Sea, Xinhua news agency reported.

“The (tolls) increase is inevitable and is a necessity in light of the current global inflation, which translates into increased operational costs and the costs of the navigational services provided in the canal,” SCA Chairman Ossama Rabiee said in the statement.

He added that the SCA adjusted the tolls through clear mechanism incorporating the changes in the maritime transport market, noting the canal remains the most efficient and least costly route compared to alternative routes.