The cost of shipping goods to Bermuda is rising as a result of soaring fuel prices.

During the past week, all three companies that provide regular cargo services between the US and Bermuda have notified their customers of an increase in fuel surcharges amounting to $150 per 20-foot container.

A notice sent to customers of Bermuda International Shipping, operators of the Bermuda Islander, on March 24, via the company’s agent Meyer Freight, stated: “Current world events have pushed fuel prices to record highs in a short period of time, with the price of Marine Gas Oil up more than 75 per cent since March 1.”

George Butterfield, vice-president, freight at Meyer Freight, explained that fuel surcharges are routinely reviewed every three months to ensure they are appropriate for current fuel prices, and rise and fall over time.

The war in the Middle East has caused crude oil prices to spike, as the effective closure of the Strait of Hormuz — through which about one-fifth of the world’s oil flows — and shipping fuel prices have followed suit.

“BISL’s normal quarterly adjusted fuel surcharge is an expense recovery tool that lags the market trends,” BISL’s notice added.

“Unfortunately, the spike in MGO has the current surcharge 52 per cent below the expected recovery point and it will remain 48 per cent below even after the previously announced surcharge increase on April 1.

“To keep pace with these bunker price increases, we are introducing an Emergency Bunker Surcharge of $150 per TEU [twenty-foot equivalent unit] effective voyage 1920 departing April 27.

“This surcharge is in addition to the normal fuel surcharges assessed on shipments.”

Somers Isle Shipping, operator of the Somers Isles, announced its fuel surcharge, effective May 1, 2026, would be $350 per 20ft container, an increase of $150.

“Current world events are pushing fuel prices to new heights very swiftly,” the notice to SISL customers stated.

The fuel surcharge on break-bulk cargo — referring to goods transported individually rather than in containers or bulk — will increase to 12 per cent up to a maximum of $1,500 per shipment, the SISL notice added.

Bermuda Container Line, which operates the MV Oleander, announced in its notice to customers: “The Iran war has caused a significant spike in fuel costs, and as a result, to keep pace with these bunker price increases, BCL will be introducing an Emergency Bunker Surcharge of $150 per TEU and 4.25 per cent for ro/ro cargo. This increase will be implemented on April 27, 2026 effective with Voyage 2369 sailing on Friday, May 1, 2026.”

The notice continues: “BCL understands the cost pressures that contribute to business operations and will continue to monitor fuel prices and adjust all applicable fuel surcharges when appropriate.”

Zach Moniz, manager of Lindo’s Family Foods, said freight cost was one of the three principal drivers of the price of goods on the shelves — the other two being the purchase cost from the supplier, and tax or duties.

He gave the example of a recently landed refrigerated 20ft container, on which freight costs totalled $4,853. The scheduled increases in container shipping costs will push this price beyond $5,000. The price of shipping a dry container was, roughly speaking, $1,000 less than a refrigerated one, he said.

“The cost of bringing in a container also depends on how far it’s come overland on its way to the port,” Mr Moniz said. “The price of fuel is going up for trucking companies as well and we could also see them introducing surcharges.”

However, Mr Moniz stressed that any extra freight, vendor or tax cost increases would only take effect after existing stock had been sold — meaning there would be a lagging effect on prices in the case of many items.

That lagging effect will also apply to any drop in prices resulting from the reduction in customs duties — announced in February’s Budget and effective today — on some of the goods Lindo’s sells.

Despite the gathering inflationary pressures, Mr Moniz said: “I’m optimistic that they will find a solution in the Middle East. And as soon as they reopen the Strait of Hormuz, the price of oil will drop like a stone.”