Dry Container News

Reefer spot rates are proving more resilient than dry container prices on exports from North Europe, with slow declines as opposed to dramatic drops. According to the latest market analysis from Oslo-based Xeneta, all main trades from the region have experienced falls over the past three months. However, unlike the dry market, the routes are still commanding higher rates than this point last year, pushing the reefer ‘premium’ over standard containers to new heights.Standing (relatively) strong “This reefer spot rate market is clearly not in the same straits as its dry sibling…

Israeli shipping company ZIM Integrated Shipping Services Ltd. said it has invested in Hoopo Systems Ltd., a provider of tracking solutions for unpowered assets, as the firm sets out to develop a first-of-its-kind tracking solution for dry containers.New York-listed ZIM announced Friday that it invested $5.5 million in Hoopo, alongside both existing and new financial investors as part of a recently completed Series A financing round.Proceeds of this investment are intended to…

For European exporters looking to source shipping containers, existing shortages could deteriorate significantly in the coming weeks, according to the latest data from Container xChange, an online platform for the leasing and trading of shipping containers.Most pricing and availability indicators now suggest carriers are continuing to favor shipping empties back to Asia as fast as possible to maximize yields on front-haul services rather than wait for less lucrative backhaul loads.The…

The Suez Canal Container Terminal (SCCT), strategically located at the mouth of the Suez Canal in Egypt, has announced its intention to open its reefer container inspection and repair hub to all brands. The terminal will also launch a dry container inspection and repair hub in October 2019.Until just over a year ago, the terminal faced unnecessary costs for moving and repositioning reefer containers with damaged panels or defects that hadn’t been recorded, said a press release from the APM Terminals, which holds majority stake in SCCT.Since it opened its reefer container inspection and repair hub for Maersk containers around a year ago, the terminal has inspected close to 30,000 reefers.

German-based cargo container shipping line, Hapag-Lloyd AG is introducing its new real-time container monitoring program “Hapag-Lloyd LIVE”, that will monitor its reefer containers and provide information such as real-time location, temperature and power-off alerts.In an initial step, the company is equipping its entire reefer fleet of some 100,000 containers to offer real-time GPS location, temperature information and power-off alerts.As the program is designed to fit customers’ needs, Hapag-Lloyd intends to develop commercial products in close cooperation with its customers in order to adapt the solution even further.The product features of “Hapag-Lloyd LIVE” will be gradually released for use as the entire reefer fleet is being outfitted.

Pentalver Transport Limited has commenced work on Phase two of its container facility at DP World London Gateway. Work started to expand the container yard, located on Berth Seven of the logistics hub, on Monday, August 15. Pentalver opened the first phase of the facility in 2015, following a successful interim operation in support of customers who has commenced container operations at the new port. Phase two of the development will add 40% additional capacity to the Pentalver operation and highlights the commitment Pentalver has made to DP World London Gateway following the commercial success achieved since opening in November 2013.

Spot container freight rates from North Europe to China increased by 45 percent this week, reaching a four-year high. The “World Container Index assessed by Drewry” market reading on the route from Rotterdam to Shanghai jumped to $1,076 per 40ft dry container today, from $740 last week. “Our sources reported that ships are currently full and that carriers have demanded much higher rates – only some prior rate agreements remain in place,” said Philip Damas, head of Drewry’s logistics practice. It is highly unusual for the “backhaul” route from Europe to Asia – where vessels normally have load factors of less than 70 percent - to see such spikes in rate levels and capacity shortages.

International transport and logistics executives are increasingly benchmarking their companies’ costs and supplier terms in ocean transport contracts, according to data gathered by Drewry Supply Chain Advisors. In the past 6 months, the ocean transport spend under carrier contracts benchmarked by Beneficial Cargo Owners via the Drewry Benchmarking Club global initiative increased by 50%, to $2.2 billion; the number of benchmarked routes rose by 81% and the volume of benchmarked dry container teu jumped by 67%. FMCG companies and retailers are generally ahead of industrial manufacturers when it comes to using benchmarking to negotiate contracts.

On November 30 at NYK’s 10th annual Environmental Management Conference in Tokyo, Asahi Unyu Kaisha Ltd. (head office: Aichi; president and CEO: Toshiya Kozawa) and the GENEQ Corporation (head office: Fukuoka; president: Keiji Ushiyama) were selected from among 33 domestic NYK Group companies for recognition of environmental activities that resulted in the improvement of company value. NYK holds this conference once a year with NYK Group companies to share information on environmental practices and strengthen environmental management. The two recognized group companies were highly commended for their rooted activities within their communities and creative solutions. Details are provided below.

GT USA, the US arm of UAE-based global ports and logistics company Gulftainer, announced the new ‘Blue Stream Service’, a weekly container cargo service connecting Port Canaveral to Europe, the French West Indies, and Central America. Blue Stream Service, operated by StreamLines, part of the SeaTrade Group, will provide refrigerated and dry container service to and from GT USA’s Canaveral Cargo Terminal, with a focus on fresh produce and perishable cargo. The Blue Stream Service will feature five ships with 1,300 TEU capacity and 250 reefer plugs on a weekly rotation. The new line will serve Central America to Port Canaveral in just three days and will offer the fastest transit time between Florida and Europe, just 11 days.

The Canaveral Port Authority welcomes the start of StreamLine’s Blue Stream weekly liner service at its new Canaveral Cargo Terminal, which GT USA manages and operates. The service adds Port Canaveral to this valued trade route that includes Central America, Europe and the Caribbean. The first call at Canaveral is scheduled for January 31, 2016 with the arrival of the M/V Norderoog. StreamLines N.V. part of the Seatrade Group, is a container line providing refrigerated and dry container service specializing in fresh produce and perishables.

With the peak season now in full flow, cargo rollovers are more likely, but ocean carriers are not the only party to blame. Cargo no-shows and phantom bookings are still a major headache for ocean carriers, particularly during the peak season. Whilst cargo booked from Asia to Europe was being rolled onto following vessels at the beginning of July due to a combination of unusual circumstances (see last week’s analysis of the Asia-North Europe tradelane for more details), some ships still sailed light due to last minute booking cancellations.

Although somewhat quieter this week with a number of the yards in the Far East approaching their summer vacations, Clarkson Hellas Weekly S+P Bulletin reports continued activity in the newbuilding market with orders coming to light in the dry, container and gas sectors. Starting with the larger sizes, this week Clarkson Hellas has seen further orders being placed for VLOCs at Guangzhou Longxue. Following a similar order from Berge Bulk in May this year, Henghou Industries are reported this week to have placed an order for two firm 250,000 DWT VLOCs at the GSI controlled Longxue. Pricing is understood to be in the region USD 59 Mill with delivery of the first vessel in 2015 and second in 2016.

The newbuilding market has continued to remain active with various new orders being reported placed in a variety of the conventional sectors, including both the Dry, Container markets and PCTC’s, reports the Clarkson Hellas S&P Weekly Bulletin. In the dry bulk market we continue to see a steady stream of orders surfacing in the handymax sector, whilst the other sectors have seen a range of sizes being contracted. In Dry: clients of Spar shipping are reported to have placed an order at Hantong Shipyard for a pair of SDARI Dolphin 64K bulkers. These vessels follow a variety of ultramax orders at the yard this year and are expected to deliver in 1H 2015, pricing stands in the region of USD 25 Mill.

Maersk Line has announced it will implement container General Rate Increases on its Transatlantic & Asia/US routes as follows: With effect from July 1, 2013, the Transatlantic trade between North Europe and North America  will be increased by US$200 per dry container. Maersk Line will also implement a General Rate Increase for the Middle East, India & Pakistan to United States and Canada trade lane with an effective date of July 3, 2013. Rate increase amounts are as follow for all dry cargo:     •    USD 300 per 20′     •    USD 400 per 40′ standard     •    USD 450 per 40’ highcube     •    USD 505 per 45’ The scope of the increase applies to all dry cargo from the Middle East, India & Pakistan regions to the United States and Virgin Islands(US) and Canada.

Germany's Hamburg Süd Group has recently published its first Responsibility Report titled 'Making it our Business'. The report documents not only the ecological but also the social and societal responsibility the company exercises. At the same time it presents in a detailed and vivid way the concrete measures with which Hamburg Süd and Aliança live up to this responsibility. “We take account of the protection of natural resources in each entrepreneurial and organisational decision we make,” explains Dr Ottmar Gast, Chairman of the Executive Board of Hamburg Süd.

Maersk Line announced that unsustainable rates and continued improved demand led to rate increases effective 1 May 2009. The filed increases are as follows on eastbound services from Northern Europe, North Africa and Mediterranean to the Middle East and South Asia: - USD 100 per 20' dry container - USD 200 per 40' dry container The increase applies equally to all cargo and commodities, excluding reefers.

As a result of market instability in the transatlantic trade, Maersk Line is announcing the following general rate increase, effective 1 April 2009. The filed increases are as follows between Northern Europe and the East Coast and Gulf Coast of North America: •    $160 per 20 ft dry container •    $220 per 40 ft container/high cube/45 ft container/reefer The filed increases are as follows between Northern Europe and the West Coast of North America: •    $200 per 20 ft dry container •    $300 per 40 ft container/high cube/45 ft container/reefer  The increases apply equally to all Eastbound and Westbound cargo moving between the US & Canada and Northern Europe.

International classification society Bureau Veritas recently teamed with Vietnam Register and entered into a long term cooperation agreement. BV and VR have agreed to cooperate on the following services: classification/certification surveys of construction, transformation and major repairs of vessels and offshore structures, holding or intended to hold the dual classification/certification VR/BV, or the single classification/certification VR or BV; classification/certification surveys including survey of routine maintenance and repair works of vessels and structures in service holding or intended to hold the dual classification/certification VR/BV or the single classification/certification VR or BV…