VRX 5.56% 3.8¢ vrx silica limited

Shipping and air freight costs have certainly gone up. In my...

  1. 179 Posts.
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    Shipping and air freight costs have certainly gone up. In my industry quite significantly. What typically happens is the end consumer gets charged more because the cost to produce goes up, not the raw material producer bearing the cost.

    Second thing to consider is estimated production is December 2022. The world will again be a different place then, fingers crossed. This should see cost of freighting normalising.

    Lastly if the demand is what BM estimates and freight makes up a small percentage of the manufacturing overall cost I can’t see it being a factor that reduces our sell price to them.

    IMO
 
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