The ships’ demolition market is underperforming so far this year, with less tonnage headed for scrapping. However, the latest fall of the dry bulk market rates has resulted in increased interest from dry bulk owners, which could eventually lead to increased demolition activity. In its latest weekly report, shipbroker Clarkson Platou Hellas said that “we have concluded the week on a fairly cagey position as Chinese New Year caused yet another stutter in relation to the flow of tonnage into the recycling pool which is still to shift up a ...

Signing a supply agreement with Hitachi High-Tech Analytical Science (Hitachi High-Tech), Wilhelmsen will supply Hitachi High-Tech’s industry-leading handheld XRF analysers to the maritime market, enabling vessel crews to accurately and efficiently test the sulphur content of their fuel, on the spot. With the International Maritime Organisation’s 0.50% global sulphur cap on marine fuels set to come into force on 1 January 2020 and discussions on enforcement strategies and potential penalties for non-compliance gathering pace, the ability to perform lab-quality testing in seconds, will soon become an operational necessity for crews, ...

We4Sea, a Delft-based maritime startup, has secured new funding to accelerate the development and roll out of its platform for monitoring seagoing ships’ fuel consumption and emissions. Thanks to We4Sea’s software platform, ships can optimise their use of fuel and drastically improve efficiency. The investment by ENERGIIQ, Mainport Innovation Fund II and angel investors was announced by Adri Bom-Lemstra, Regional Minister for Economy and Innovation for the Province of Zuid-Holland at the Maritime Delta dinner in Schiedam. High pressure on shipping to reduce air pollution On average, seagoing ships consume ...

China’s steel industry is perhaps the most important fundamental element of the demand-supply balance in the dry bulk market. As such, any shifts in production, capacity or exports, are of major interest to dry bulk ship owners. In a recent analysis, shipbroker Banchero Costa said that China currently accounts for around 52% of the world’s crude steel output. In 2018, world crude steel production amounted to 1,790 mln tonnes, up 4.5 percent compared to the volume in 2017. According to the shipbroker, Chinese steel demand is expected to be flat ...

Like it or not, consolidation in the shipping sector remains necessary for survival, especially in light of declining freight rates for the dry bulk sector. With the Baltic Dry Index down almost 800 points in just three months, the prospect of consolidation, whether through mergers or acquisitions, is rearing its head again. In November, MTS Logistics president Sedat Saka, writing for American business magazine Forbes, predicted that consolidation in the shipping industry would continue this year — noting that it has become hard to survive as an independent shipper with ...

“The 2020 global sulphur cap will be the regulatory game changer of the decade with profound implications for the economics of shipping” believes Chairman of the International Chamber of Shipping (ICS), Esben Poulsson. “But there are even more profound changes to come. We are rapidly moving into a multi-fuel future to be followed we hope, in the 2030s, by the arrival of commercially viable zero CO2 fuels suitable for global application.” Poulsson was speaking following the ICS Board meeting in London last week, attended by senior representatives of the world’s ...

Another week, another geopolitical shift is having an impact on the tanker market. This time it’s Venezuela’s political crisis and a bankrupt state that are causing havoc in tanker trades. In its latest weekly report, shipbroker Gibson said that “on the 23rd of January the US president recognised Venezuela’s national assembly speaker Juan Guaido as interim president of the country and called Maduro’s government “illegitimate”. Soon afterwards, Washington announced tough sanctions against PDVSA, designed to halt US imports of Venezuelan crude. The government stopped short of placing an outright ban; ...

Capesize The Vale disaster weighed heavily on the market for big ships, with uncertainty about shipments/future exports leading to a sharp drop in rates. The miners have largely been absent from the market, with just a handful of others there with cargoes to move, and rates are expected to slip under $13.00 for first half March positions. Ballasters heading to Brazil eyed South Africa as an alternative and there too rates were slashed, falling below $9.50 with a 4-9 March 170,000-tonne 10% cargo fixed at this rate from Saldanha to ...

This article outlines the use of letters of indemnity (LOIs) and the impact on members’ P&I cover discusses some recent English law court decisions concerning the enforcement of LOIs offers recommendations to members when negotiating, issuing, and using LOIs. What is an LOI and why are they used? An LOI is an agreement whereby the issuer requests the recipient to do (or refrain from doing) something in exchange for an indemnity for any losses that result from complying with the request. In shipping, in the interest of expedience, a shipper ...

The dry bulk market has been reeling under the pressure exerted on freight rates by the lull in the Chinese market. In its latest weekly report, shipbroker Intermodal noted that “as the market is already going through the first days of the Chinese New Year, dry bulk earnings are getting a lot of pressure. Slow trading is really affecting owners’ confidence and while the downward trend is pretty much expected during this time of the year, the fact that rates saw steep weekly declines a few weeks ahead of the ...

With the deadline of IMO Sulphur Cap 2020 drawing closer, we understand the owner’s concern to remain operational while complying with this environmental regulation. Having a good implementation / fuel oil changeover plan is just the beginning of the transition phase. A very important aspect of the plan is to address the potential risks that may arise. Remember: FAILING TO PLAN IS PLANNING TO FAIL! WSM recommends the development of a holistic risk assessment that addresses all aspects of vessel operations, fuel compatibility and safety when operating with compliant fuel. A ...

The problem of uncollected cargo is a perennial problem for NVOCC operators, often resulting in considerable bills on warehousing, container demurrage, and disposal costs. Apart from anything else, there is a significant drain on management resource to bring resolution. Uncollected cargo is not a new challenge to NVOCC, but in many parts of the world appears to be an increasing problem. The NVOCC is particularly exposed to liability to costs that arise rapidly where house bills have been issued and it acts as carrier. There may not be a ‘silver ...

The first month of 2019 was lucklustre for the ships’ demolition market, to say the least. As such, the latest news from the Southeast Asia region seems to be positive in terms of market sentiment. In its latest weekly report, shipbroker Clarkson Platou Hellas said that “the sign of the current market conditions appears clearer to see as cash buyers start to offload some of the units that they have held in their possession for some time which probably is a good indicator as to where their confidence lies. There ...

Following an almost total halt in exports of soya beans to China in the last quarter of 2018, the new year has brought new hopes for American farmers and the dry bulk shipping sector. The USDA reported that in the first four weeks of 2019 754,609 tonnes of soya beans were ready to be shipped in China, up from only 25,347 tonnes in December. In addition to the ready shipments, on 5 and 6 February, the USDA reported sales totalling 3.2 million tonnes of soya beans to China, the majority ...

As blockchain technology (of cryptocurrency fame) develops, it has gained its fair share of supporters and detractors, but despite this, it is quickly being adopted by the marine industry because of its proven ability to optimise costs. “Shipping is a slow and age-old industry still conducted in large part by phone and email. Possibly the last true disruption to the industry was containerisation,” says Daniel Wilson, Director of Business Development at TradeLens. And he should definitely know. After all, TradeLens was launched in January 2018 by A.P. Moller – Maersk ...