The recovery of liquefied natural gas (LNG) freight rates is not expected to start before the latter part of next year, mainly due to the excess vessel supply which is set to reduce only gradually, according to shipping consultancy Drewry. Given the mounting pressure on freight rates and continuing
Qatar-based marine transport and logistics conglomerate Qatar Navigation (Milaha) has seen its net profit drop by some 33 percent for the first quarter of the year ended March 31, 2017. Namely, the company ended the quarter with a net profit of QAR 236 million (USD 64.8 million), significantly lower
Oil tankers experienced a tough start to 2017 as freight rates for all crude oil and oil product tankers continued their decline following the brief lift at year-end, according to international shipping association BIMCO. Although average earnings stood at USD 18,853 per day by April 7, 2017, down f
In light of increased maritime piracy attacks, especially off the Horn of Africa, which often include hijacking of seafarers, employers are facing new challenges. Namely, employers are obliged to pay salaries to their workers while in captivity, however, an issue arises on the duration of that payme
Pressured by difficult markets and periods of economic uncertainty, shipping companies often turn to pool arrangements, not being aware of the financial, tax and jurisdictional implications of participating in such deals. As “shipping pools can be an attractive option,” the international accountant
The global very large crude carrier (VLCC) and Suezmax fleet completed 4.6% less ton miles during the first quarter of the year compared to the fourth quarter of 2016, according to VesselsValue. The fleet’s reach was over 2.5 trillion ton miles in the first three months of 2017, with a reduction in
With the launch of the new carrier alliances on the east-west trades on April 1, 2017, the demand for vessels and the final tally of containership tonnage is set to increase by 5% in TEU capacity and by 4% in vessel count compared to March, according to Alphaliner. Compared against the peak season d
National Shipping Company of Saudi Arabia (Bahri) revealed plans to re-flag 32 of its very large crude tankers (VLCCs) and five of its mid-size carriers under the domestic flag by the end of 2017. The move comes amid a positive shift the country’s transport sector has witnessed. In addition, the ini
The shippers have been urged to steer clear of the navigational channel to the east of the Yemeni island of Zuqar in the Red Sea due to possible mines in the area. Namely, the Yemeni Coast Guard warned the shipping community of the possible dangers in the navigational channel following reports that
Westbound Asia to Mediterranean volumes have been disappointing thus far in 2017, but shipments heading in the opposite direction are surging, according to shipping consultancy Drewry. Similar to the Asia-North Europe trade, the backhaul market is currently on top in the Asia-Mediterranean/North Afr
Dubai-based port operator DP World and the Port of Fujairah have reached an agreement to terminate the Fujairah Port concession deal entered into in 2005. The concession contract signed between the parties was on a build, operate and transfer basis (BOT) to expand and develop the Fujairah Container
The service provided by container shipping lines is rated as poor to average and has deteriorated in the past year, according to a survey conducted by Drewry and the European Shippers’ Council (ESC). Several hundred of exporters, importers and freight forwarders from all over the world were contacte
Despite the freight rate improvements that followed the collapse of Hanjin Shipping in late August, the average operating margins of 13 main container carriers remained negative in the second half of 2016, according to Alphaliner. Due to the tough operating environment, only three carriers recorded
The charter market has found a new lease of life in the recent weeks driven in part by carriers’ poor network planning ahead of the new alliances, according to shipping consultancy Drewry. In recent weeks time charter rates for some of the biggest available ships doubled since the start of the year.
