EU authorised benchmark administrator the Baltic Exchange has partnered with air cargo pricing publisher TAC Index Company of Hong Kong.
The Baltic Exchange and TAC will provide new regional general air cargo rate assessments. TAC’s Regional General Air Cargo Indices will be rebranded as the Baltic Air Freight Index (BAF Index) powered by TAC Index and come under the governance of Baltic Exchange Information Services Limited (BEISL).
TAC Index will act as the Calculating Agent.
TAC Index provides weekly average assessments for general cargo on 32 major air trade lanes and is based on transaction data submitted by global freight forwarders. Launched in 2016, the TAC Index is widely referenced in the air cargo market and has established itself as a trusted and independent source for market freight rates.
The Baltic Exchange will initially undertake a rigorous review of the TAC Index’s methodology and processes to establish a governance structure which will ensure the index's compliance with UK’s Financial Conduct Authority’s rules for benchmarks.