Research looks at sustainable fuels impact on cost of shipping goods

In Finland, a recent study conducted by researchers from Åbo Akademi University, University of Turku, and PBI Research Institute, analyzed how much sustainable shipping would affect the prices of different good categories and found it would increase the prices of electronics and transportation equipment by less than a percentage.

“The study shows that transportation of goods using renewable fuels instead of fossil fuels would increase the prices of electronics and transportation equipment with less than a percentage making renewable fuels a rational option for shipping,” says doctoral student Henry Schwartz.

The impact of renewable fuels on the goods transported varies with the value of the goods. Prices of low-valued goods were more influenced by the increased fuel costs.

“For refined goods the impact is small whereas for unrefined goods the impact is high. Instead of focusing on costs, sustainable transportation can be seen as a source of profitability. Sustainable shipping may turn out to be a business opportunity for high valued goods whereas transportation of low valued goods will be more challenging,” explains research director Magnus Gustafsson.