Reading SCFI, CCFI, and BDI — Using Shipping Indices to Anticipate Freight Rates

Reading "SCFI rose 3% this week" in a logistics news story doesn't always translate into an obvious meaning for your own freight costs. Shipping indices aren't just news fodder — they're practical data that hints at how your next rate negotiation will go. This guide covers the three shipping indices shippers encounter most often: SCFI, CCFI, and BDI.

SCFI (Shanghai Containerized Freight Index)

Published weekly by the Shanghai Shipping Exchange, this tracks container freight rates on major routes departing Shanghai (Americas, Europe, Southeast Asia, etc.) as actual rates in absolute USD/TEU terms. It's the most widely cited container shipping market indicator — a rising SCFI signals that carriers, not shippers, hold more negotiating leverage at that moment.

CCFI (China Containerized Freight Index)

Published by an agency under China's Ministry of Transport, this reflects container freight trends across all major Chinese ports, not just Shanghai. Unlike SCFI, it's a relative index (base year 1998 = 1,000) rather than an absolute dollar figure — making it better suited for reading "how much has this moved compared to the past" rather than "what's the current rate."

BDI (Baltic Dry Index)

Published by the Baltic Exchange, this tracks dry bulk freight rates — the cost of shipping iron ore, coal, grain, and similar commodities via bulk carriers. It's a composite of sub-indices by vessel size (Capesize/BCI, Panamax/BPI, Supramax/BSI, Handysize/BHSI). Because it reflects raw-material shipping demand unrelated to container trade, it's also frequently cited as a leading indicator of global commodity demand and economic activity.

How to actually use these in practice

• SCFI/CCFI trending up → container rates are in an upward phase; locking in a longer-term contract or space guarantee sooner rather than later can work in your favor. In a downward trend, the reverse holds — a shorter-term contract leaves room to capture further declines.
• BDI trending up → signals rising demand for raw materials and bulk cargo; if your business depends on commodities like steel or grain as inputs, this can be an early warning to prepare for rising raw material costs.
• Don't decide on the index alone — shipping indices are route- and vessel-type averages, so the quote you actually receive can move differently based on your volume, contract type, and carrier relationship. Use the index as negotiating context, but make your final call based on actual quote comparisons.

A practical tip

Our Logistics Briefing automatically collects SCFI, KCCI (Korea's container freight index), BDI, and other key shipping indices daily. If you notice a sustained trend in one direction, also check our Ocean Freight Surcharges guide before your next rate negotiation to review the full cost structure in advance.