The main idea behind Global Freight Exchange (GFX) is to get transparency and efficiency in the container freight booking process. The platform intends to be an aggregator for the container freight market, at the same time providing a tightly integrated trading platform which will provide the much-needed liquidity to the market. This effectively will present a win-win situation for both ends of the supply chain i.e. the Shipping Lines and the end users.
“Global Freight Exchange will be an online platform (delivery based) where in sellers (shipping lines) and buyers (shippers) can come together to trade container freight/space”.
Once the platform is ready, the asset owners/shipping lines/NVOCCs/container operators will be able to upload their container inventory (also referred to as long position later in this document) which will be visible to other industry players/platform users. This will be an online market place where the market participants will be able to execute their buy/sell or bid/ask transactions in a transparent and efficient way.
The Asset owners (shipping lines) will upload the rates for different port pairs, sailing dates and equipment type. End user can search for the rates and click on that to confirm the booking. The end user will also have the opportunity/flexibility to sell the booked container (contract) back on the platform thus exercising arbitrage possibilities.