Chemical Trade News

Shipping major AP Moller-Maersk Group's export-import (exim)-focused trade finance arm Maersk Trade Finance is targeting a 33 percent loan disbursal growth at $200 million in 2019 in India.The trade financing solution arm of Danish business conglomerate said that it disbursed a total of USD 0.7 billion globally till date since its inception in 2015, with over 150 million in India in the year 2018, a 53% Y-o-Y increase as compared to 2017.Vipul Sardana, Global Head of Maersk Trade Finance said “Indian SME sector continues to play a significant role in India's economic development. As the sector is gearing up for its digital transformation…

Chemical shipping freight rates will weaken through 2018 due to the depressed outlook on overtonnaged long haul routes, according to the latest edition of the Chemical Forecaster, published by global shipping consultancy Drewry. The global chemical trade grew by a little over 4% in 2017, while overall tonne-mile demand expanded by almost 5%. Despite continuing global economic growth, Drewry expects seaborne chemical trade to grow by 2.5% in 2018 and tonne-mile demand by 1.6%, reflecting a slowdown in long-haul trip growth. Increasing self-sufficiency in base chemicals in Asian countries is a definite threat to long-haul trades. The global chemical capable fleet increased by 3.9% in tonnage terms in 2017.

Subdued ordering and a narrowing in the tonnage supply-demand gap from late 2018 is expected to support a recovery in the chemical shipping market, according to the latest edition of the Chemical Forecaster, published by global shipping consultancy Drewry. Drewry estimates that tonne-mile demand of chemical commodities will grow at 3.8% on a year-on-year basis in 2017, of which the organic trade is likely to grow only at 1.5%. By contrast, inorganic and vegoil tonne-miles are expected to increase by 6.3% and 6.5%. Drewry estimates that the global chemical trade will grow at 3.3% in 2017, owing to the strong vegetable oil trade from Southeast Asia to South Asia.

Demand for methanol and vegoil will moderately support global seaborne trade causing the shipping fleet trading in chemicals and vegoils to expand, according to the latest edition of the Chemical Forecaster, published by global shipping consultancy Drewry. A press release from Drewry said that the orderbook contains 144 stainless steel vessels totalling 3.4 mdwt for delivery by 2020, almost 22% of the existing capacity for such vessels; 63 of these vessels are in the size range of 25,000-40,000 dwt, while in the existing fully stainless steel fleet, there are 143 vessels in the size of 25,000-40,000 dwt category. These large vessels are meant to be employed in the pure chemical trade.

It was another lacklustre month for the shipping industry as freight rates in almost all sectors softened further. Drewry’s Earnings Index declined by 0.5% during the month to 52.4. The new locks of the Panama Canal finally became operational in June, enabling vessels of up to 49-metre beam, 366-metre LOA and 15-metre draught to pass through, which in turn will affect trade patterns in various sectors. The canal can now accommodate containerships of up to 12,500 teu. As more ULCVs are being delivered each month, carriers are desperately looking for new homes for smaller vessels (8,000-12,000 teu) cascaded out of the Asia-Europe trade.

Alabama Shipyard has signed a contract to build an articulated tug and barge (ATB) vessel for Allied Transportation Company of Norfolk, Va. Both vessels will be designed and built to ABS classification standards. "This is our third major contract award during the last four months of 2000," said Dick Wells, the yard's president. "The total value of these contracts is greater than $65 million. Alabama Shipyard designed the 129,000-barrel, 450-ft. (137.1 m) barge in compliance with the Oil Pollution Act of 1990 ("OPA 90"), which requires vessels to have a "double-hull" in order to provide greater safeguards to the marine environment. OPA 90 requires most large coastal barges operating in the petroleum and chemical trade to have double hulls by 2005. Measuring 124 ft.

Alabama Shipyard has signed a contract to build an articulated tug and barge (ATB) vessel for Allied Transportation Company of Norfolk, Va. Both vessels will be designed and built to ABS classification standards. "This is our third major contract award during the last four months of 2000," said Dick Wells, the yard's president. "The total value of these contracts is greater than $65 million. Alabama Shipyard designed the 129,000-barrel, 450-ft. (137.1 m) barge in compliance with the Oil Pollution Act of 1990 ("OPA 90"), which requires vessels to have a "double-hull" in order to provide greater safeguards to the marine environment. OPA 90 requires most large coastal barges operating in the petroleum and chemical trade to have double hulls by 2005. Measuring 124 ft.

Alabama Shipyard has signed a contract to build an articulated tug and barge (ATB) vessel for Allied Transportation Company of Norfolk, Va. "This is our third major contract award during the last four months of 2000," noted Alabama Shipyard president Dick Wells. "We have several pending contracts that will help us create a stable workforce here in Mobile," Wells stated. Alabama Shipyard designed the 129,000-bbl, 450-ft. barge in compliance with the OPA 90, which requires vessels to have a double-hull in order to provide greater safeguards to the marine environment. OPA 90 requires most large coastal barges operating in the petroleum and chemical trade to have double hulls by 2005.