Panama Canal suspends special and daily auctions amid severe drought

The Panama Canal Authority (ACP) has suspended the special auctions for Neopanamax vessels and daily auctions for Panamax vessels from today until 31 October due to the ongoing drought.

PHOTO: Port of Balboa at Panama's Pacific Ocean side. Getty Images

However, the booking slots that were offered seven days before transit through the Neopanamax locks will remain the same, the ACP said.

"The ACP may announce additional measures as deemed necessary to guarantee operational efficiency," it said.

The Panama Canal has been experiencing drought conditions throughout most of this year, leading the operator of the waterway to restrict the number of daily transits and impose draft restrictions.

Earlier this month, the ACP announced plans to reduce the number of daily vessels crossing the canal from 32 to 31 from 1 November. Nine vessels will pass via the Neopanamax lock and 22 via the Panamax lock daily.

The number of transits has been decreased to maintain a 44-foot draft, which is used by 70% of the ships passing through the canal. The draft has been decreased from its highest point of 50 feet due to drought restrictions, according to the ACP.

By Debarati Bhattacharjee

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