Why Shipping Routes Matter to Global Commodity Prices

A commodity can be abundant at its source and scarce at its destination. The difference is often transport. Oil, grain, metals, and liquefied natural gas must pass through ports, canals, straits, and shipping lanes whose capacity cannot expand instantly when a route becomes congested or unsafe. For commodities trading, route conditions matter because benchmark prices reflect deliverable supply, not merely total production. A disruption that…