CMA CGM Steps Up Iran Presence

Posted by Joseph Keefe
Thursday, January 28, 2016
File Image: the CMA CGM Ben Franklin

France's CMA CGM, the world's third-largest container shipping group, will expand its presence in Iran after signing a landmark deal on Thursday with the Islamic Republic of Iran Shipping Lines (IRISL).

Many Western businesses are seeking to invest in Iran, a nation of 80 million people, after many sanctions linked to the Persian nation's nuclear program were lifted this month.

The preliminary agreement between CMA CGM and IRISL, signed during a visit to Paris by Iranian President Hassan Rouhani, covers vessel capacity sharing, joint operating of routes, and cooperation in using port terminals, the French government said in a statement.

The partnership is the first struck between a major international line and IRISL and marks a further resumption of shipping trade after CMA CGM and some competitors resumed port calls in Iran last year.

Cooperation would focus on sharing capacity between CMA CGM and IRISL's vessels, the French group said in a separate statement, adding that the agreement was subject to other sanctions that are still in place.

"The progressive lifting of sanctions should bring strong growth in trade between Iran and the rest of the world. This agreement opens new opportunities for CMA CGM to expand in this region," it said.

IRISL is Iran's top cargo and container carrier and was taken off the sanctions list earlier this month.

Iran had once depended on foreign ships for much of its imports. But since 2012, when sanctions led to an exodus of Western shipping firms, it relied more on land routes and its own commercial fleet, leading to supply disruptions.

CMA CGM and Evergreen of Taiwan, the world's No. 4 player, were the first to resume direct services to Iran last August.

The French group now operates three direct services to and from Iran, linking the country to Africa, Asian and India. It separately offers indirect services from northern Europe and the Mediterranean to Iran, done through transhipments via the United Arab Emirates, it said.

MSC of Switzerland, the world's second biggest line, restarted port calls in Iran in late December, while United Arab Shipping Company said last week it had resumed business with Iran. Market leader Maersk is looking at resuming services.

CMA CGM, privately controlled by the Saade family, is set to reinforce its global reach after agreeing in December to acquire Singapore's Neptune Orient Lines, a deal it says will help it overcome a shipping downturn.

Prices for cargos have touched record lows this year amid global concerns on China's economic slowdown and an oversupply of cargo ships.


Reporting by Gus Trompiz and Jonathan Saul


Contracts

Weak Freight Rates push Grindrod to H1 loss

Africa's biggest shipping group Grindrod reported a first-half loss on Thursday, pressured by low global growth and declining dry bulk shipping rates but it expects

J.F. Lehman Acquires Oldenburg's Heavy Equipment Group

J.F. Lehman & Company (JFLCO) informs it has signed a definitive agreement with Oldenburg Group Incorporated to acquire its Heavy Equipment Group, including both its defense and mining business units.

New Crane Orders for Huisman

Huisman has secured new crane contracts with a total value of around 300 million Euro from various major offshore, shipping and wind farm installation contractors: •

Ports

China COSCO Falls to H1 Net Loss

China COSCO Holdings Co Ltd fell to a first-half loss hurt by a persistent slump in the global container market, the world's fourth largest container shipper said on Thursday.

New Crane Orders for Huisman

Huisman has secured new crane contracts with a total value of around 300 million Euro from various major offshore, shipping and wind farm installation contractors: •

Cosco Eyes Spanish port of Algeciras

Algeciras Bay Port Authority in southern Spain has put up a tender for its third container terminal, and China's Cosco Shipping Ports is already being mentioned as a fore runner candidate,

Finance

Hellenic Petroleum Profits Rise on Higher Exports

Hellenic Petroleum, Greece's biggest oil refiner, posted a 20 percent rise in second-quarter core profit on Thursday, with higher exports offseting lower refining margins.

China COSCO Falls to H1 Net Loss

China COSCO Holdings Co Ltd fell to a first-half loss hurt by a persistent slump in the global container market, the world's fourth largest container shipper said on Thursday.

Weak Freight Rates push Grindrod to H1 loss

Africa's biggest shipping group Grindrod reported a first-half loss on Thursday, pressured by low global growth and declining dry bulk shipping rates but it expects

Container Ships

SMM 2016: World Premieres from around the Globe

Some 50,000 trade visitors from the whole of the world are expected in Hamburg for the start of SMM in less than two weeks. And once again, it is fully booked – with a total of more than 2,

China COSCO Falls to H1 Net Loss

China COSCO Holdings Co Ltd fell to a first-half loss hurt by a persistent slump in the global container market, the world's fourth largest container shipper said on Thursday.

New Container Equipment Prices to Fall to Record Lows

Cheaper production and material costs as well as weaker demand has driven the price of new container equipment down to record lows and is forecast to fall  further during 2016,

Government Update

Iran Vessels Make 'High Speed Intercept' of US Ship

Four of Iran's Islamic Revolutionary Guard Corps (IRGC) vessels "harassed" a U.S. warship on Tuesday near the Strait of Hormuz, a U.S. defense official said, amid

El Faro Captain Ordered Crew to Abandon Ship before Sinking

The captain of the doomed El Faro cargo ship sounded an alarm for his crew to abandon the vessel shortly before it sank last fall in a hurricane near the Bahamas, killing all 33 onboard, the U.

China COSCO Falls to H1 Net Loss

China COSCO Holdings Co Ltd fell to a first-half loss hurt by a persistent slump in the global container market, the world's fourth largest container shipper said on Thursday.

Intermodal

China COSCO Falls to H1 Net Loss

China COSCO Holdings Co Ltd fell to a first-half loss hurt by a persistent slump in the global container market, the world's fourth largest container shipper said on Thursday.

Indian Shipping Seeks Road Fund for Development of Waterways

The Shipping Ministry of India has mooted a proposal to utilize part of the fuel cess collected for building national highways for expansion of National Waterways as well.

NordLB to Shed Shipping Loans to KKR

German state-owned lender NordLB and KKR Credit said they had reached an agreement by which KKR Credit will acquire a $1.5 billion portfolio of shipping loans from

 
 
Maritime Careers / Shipboard Positions Maritime Security Maritime Standards Offshore Oil Pipelines Pod Propulsion Port Authority Salvage Ship Electronics Shipbuilding / Vessel Construction
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1231 sec (8 req/sec)