Shipping companies will be affected by the rising bunker costs, the rise will affect the trade on the spot freight market and on shorter intra-Asia trade routes, said by an industry executive.

This week Singapore's benchmark bunker price BK380-B-SIN reached 2-1/2 year high at $690 per tonne against previous year high of $480 prompted by rise in fuel prices. Depending upon the type of vessel, the bunker piece can make up around 10 to 70 percent of operating costs.

Janet Lewis, a shipping analyst at Macquarie Securities said that China Shipping Container Lines and Cosco Shipping which mostly trade on spot freight market will be affected the most with rise in bunker prices.

Another shipping line Maersk's intra-Asia container line subsidiary, MCC Transport also shows its concern with the rising bunker fuel prices.

The tensions in the Middle East have created supply worries due to which in last three months oil prices LCOc1 have increased about 24 percent and reached around $127 a barrel on Monday, which is the highest in last 2-1/2 years.

Some other shipping companies have successfully passed the rise in bunker cost to their customers through variable freight rates linked to the movement of fuel prices.

Kawasaki Kisen has been able to pass on about 65 percent of the bunker price to its customers, but wants to make it to 75%.