The new regulations of the global sulphur cap, coming into force at 2020, are not only likely to put pressure on the supply of suitable fuel oil to the market but also to the supply of credit. In a recent presentation at the Aracon bunker event, head of credit Paul Millar at physical supplier and bunker trader Bomin Group outlined his views on the subject. The increase in bunker prices post-2020 may force some shipping companies out of the market while credit managers will also come under pressure to raise credit lines to cover increased fuel costs. According to Millar, those companies in the bunker supply chain that are least equipped to handle any inflated financial demands will be most likely to suffer.
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