01What the index measures
Spot-rate index for container sea freight ex Shanghai, published weekly (Fridays) by the Shanghai Shipping Exchange.
Freight-market indices deliver orientation in an otherwise opaque market. They help procurement, sales and finance teams benchmark prices, index contracts and spot trends early.
02Methodology
Base value 1,000 pts on 16 Oct 2009. Covers 15 destinations weighted by volume. Separate sub-indices (SCFIS, SCFI indices).
Every freight-market index has its peculiarities. Never blindly compare two indices — check the data basis (spot vs. contract, actual transactions vs. quotes), weighting and timeliness to draw meaningful conclusions. For spot indices volatility is key: high swings signal capacity crunches or disruptions.
03Interpretation and use
Use the index as a benchmark in tenders, for rate-procurement strategies, as the basis for index-linked contracts and as a leading indicator of capacity or demand shifts. Combine with bunker prices, capacity reports, order-book data and political risk for a holistic view.
In budget planning index-based rate forecasts significantly improve accuracy. Many shippers now run hybrid contracts: a fixed baseline plus an index-linked add-on that fairly splits risk between shipper and carrier.