Exports News

27 Mar 2020

Transnet to Cut Transport of Non-Essential Cargo During Lockdown

© OscarDiMalva /Adobe Stock

South Africa's logistics firm Transnet said it would reduce transport services and non-essential cargo operations during a nationwide lockdown that began at midnight on Thursday to contain the coronavirus.The state-owned company said shipments of metals and minerals would depend on demand and government approval. It was unclear if these exports would be affected.The transport of coal to state-run utility Eskom's power stations would continue, Transnet said.Transnet operates nearly three quarters of the African rail network…

26 Mar 2020

Meatpacker JBS Flags Export Logistics Issues Amid Coronavirus

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Brazil's JBS SA, the world's largest meatpacker, has identified potential logistics issues amid the coronavirus crisis including container shortages and port disruptions, according to executives discussing earnings results on Thursday.JBS executives said in a call on fourth-quarter earnings results that its export operations had not been hit by any disruptions, such as those that have affected frozen container cargos arriving in China in recent weeks. They said the company is banking on its long-term relationships with shipping providers to keep exports flowing.

26 Mar 2020

More Bad News for Bulkers, as South African Ports Close for Mineral Exports

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South Africa's main export terminals will be closed to mineral exports from midnight on Thursday when a nationwide 21-day lockdown over coronavirus begins, disrupting copper supply chains linking major producer Zambia to Asian consumers.Miners in the Zambian copper belt typically transport copper overland to South Africa's ports, where it is exported mainly to China, the world's biggest consumer of the metal."All bulk terminals (mineral mining commodities) will be closed," a note from Transnet Port Terminals read, according to a shipping agent.

23 Mar 2020

Coronavirus-related Inspections Delay Venezuelan Oil Exports

© Igor Dashko / MarineTraffic.com

At least two cargoes of Venezuelan crude have been delayed due to health inspections aboard tankers to prevent the spread of the coronavirus, according to an internal document from state oil company Petroleos de Venezuela seen by Reuters.The delays add to a growing glut of tankers loaded with Venezuelan crude that preceded the coronavirus crisis as U.S. sanctions spooked potential customers. With domestic onshore oil inventories approaching capacity, PDVSA has been increasingly…

23 Mar 2020

Saudi Arabia's Tanker Power Play Could Backfire

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Top exporter Saudi Arabia has chartered an armada of ships to flood the market with additional oil, but in the process has driven freight costs so high refiners are reluctant to take the shipments.That could leave the kingdom stuck with tens of millions of barrels in expensive ships at anchor when the coronavirus outbreak has destroyed oil demand and international prices have lost more than half their value compared with the start of the year.Following the failure to persuade…

21 Mar 2020

IMF: Global Impact of COVID-19 will be Severe, but Temporary

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As many markets struggle to find their footing in the face of the global COVID-19 pandemic, a recent podcast with Martin Muhleisen, director of the IMF's Strategy, Policy, and Review department, helps to lend insight and perspective from the view of the International Monetary Fund.Muhleisen  said the impact of the global coronavirus pandemic will be “quite severe,” but temporary, saying that the overall good health of the world economy and high employment rates should help to provide buffers to blunt the impact“I would think that financial institutions more broadly are in a better shape than…

20 Mar 2020

China's Reefer Situation Improving

© donvictori0 / Adobe Stock

Chinese port workers have made progress to move a logjam of refrigerated containers that has disrupted supplies of fresh and frozen food and pushed up freight rates outside China amid the coronavirus outbreakFrench container carrier CMA CGM told customers on Friday that the reefer plug utilization has improved in Chinese ports, and almost all reefers diverted to other ports are in the process to be loaded back to their final destination.CMA CGM said it would cancel the port congestion…

19 Mar 2020

Shipping Not Immune to a Pandemic -BIMCO

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The World Health Organization (WHO) has declared the outbreak of the novel coronavirus a pandemic. There is little doubt that this will have significant implications for the shipping industry. But to what extent? BIMCO expects that the strict containment measures imposed by governments around the world will result in substantially lower global economic growth and consequentially, lower demand for shipping. Container and dry bulk shipping are at the front line when it comes to feeling the fallout…

19 Mar 2020

Tanker Rates Fall, but Storage Demand Stays Firm

© Vladimir / Adobe Stock

After a frantic week that sent crude oil freight rates to record highs amid a bookings bonanza to ship Saudi oil to the world, rates are now easing as charterers balk at the nosebleed charges and await Saudi volume plans for April, shipping sources said."Sentiment remained softer today," said one ship broker while pointing to another day of limited chartering activity.At least nine very large crude oil carrier (VLCC) provisional charters failed this week along with another five for Suezmax tankers…

18 Mar 2020

BIMCO Revises 2020 Forecast

© Igor Yu. Groshev / Adobe Stock

The coronavirus pandemic is impacting global shipping demand for 2020 negatively. The speed of the virus spread makes it difficult to assess the full consequences. Nevertheless, we see a need to update our 2020 forecast to make some of this massive uncertainty tangible.What is going on in addition to the coronavirus pandemic?Geopolitical tensions that made the OPEC+ alliance break down, has subsequently made the crude oil tanker spot freight market erupt. The events that followed the breakdown - and those that are likely to follow…

18 Mar 2020

Opinion: Maritime Freedom & the Global Commons

Freedom of Navigation: The guided-missile destroyer USS Lassen (DDG 82) escorts the merchant vessel Tomahawk through the Strait of Hormuz.
(U.S. Navy photo by Mass Communication Specialist 2nd Class Michael H. Lehman/Released)

“Freedom” – the absence of subjection to foreign domination or despotic governmentIt has been decades since international relations in the world order dictated true competition for sea control, sea lines of communication, access to world markets, and diplomatic partnerships. However, it is becoming increasingly alarming that nations such as Iran, China and Russia seek to accumulate/consolidate power and re-define international maritime norms, potentially at the peril of diplomatic…

18 Mar 2020

Indonesia Revokes Rule Requiring Domestic Ships for Some Exports

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Indonesia's government will revoke rules requiring exporters of coal and palm oil to use domestic shipping companies for shipments, Coordinating Minister for Maritime and Investment Affairs Luhut Pandjaitan told reporters on Wednesday.Indonesia, the world's biggest thermal coal exporter, issued regulations in 2018 requiring its coal and palm oil exporters to use domestic shipping companies, which were due to come into force this May.The government has since concluded that the rule would be disruptive for exports and President Joko Widodo has ordered it to be revoked…

17 Mar 2020

COVID-19 and Supply Chain Implications for Ocean Shipping

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Only 10 days ago, reports indicated that China cargoes were returning to pre-coronavirus levels, and there appeared to be light at the end of the tunnel. Today, however, a barrage of new headlines has underscored the impact on the rapidly changing global supply chain, including in the United States. In addition to the aggressive spread of the novel coronavirus (COVID-19), new economic developments indicate a decreased trend in global manufacturing. Changes in local economies negatively impacting employees reflect corresponding changes in consumer buying patterns.

12 Mar 2020

BIMCO: US-China “Phase One” Fails to Boost Trade Volumes

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Even before the effects of the coronavirus, the ‘Phase One’ agreement between China and the US failed to boost volumes of the implicated goods in January. In fact, exports of the manufactured, agricultural and energy goods included in the deal were down 26% from January 2017, which serves as the base year for the agreement.The ‘Phase One’ agreement which was signed on 15 January 2020 to lowered some US tariffs on imports from China, which in return has committed to increase its imports from the US.

10 Mar 2020

Coronavirus Weighs on LA Cargo Volumes

(Photo: isis that needs to be brought under control with the collaboration of governments and medical experts from around the world,” said Port of Los Angeles)

February container volumes through America's largest cargo port were down significantly as the novel coronavirus continues to wreak havoc on global shipping.The Port of Los Angeles reports it moved 544,037 Twenty-Foot Equivalent Units (TEUs), a decrease of 22.9% compared to last year, and said it expects declines to continue in March.“While cargo volumes are important, the coronavirus is first and foremost a public health crisis that needs to be brought under control with the collaboration of governments and medical experts from around the world…

10 Mar 2020

Capesize Remains Submerged in the Depths of Despair

© Eugene Sergeev / Adobe Stock

While the Capesize segment has been massively impacted by the coronavirus, the smaller dry bulk segments are starting to recover towards profitable territory, partly on the back of seasonally higher grain exports from South America. Nonetheless, as the coronavirus continues to spread, the risks are skewed towards the downside.Capesize remains extremely unprofitable, but what about the rest?The Baltic Exchange Capesize index drew headlines lately, as it, for the first time ever, went into negative territory.

09 Mar 2020

AAL Kembla's Maiden Call at Hamburg Port

The heavy lift vessel AAL Kembia docked for the first time at Terminal C. Steinweg (South-West Terminal) in Hamburg. © HHM / Hasenpusch

Port of Hamburg welcomed the ‘AAL Kembla’ on her first call in Germany’s largest universal port. She berthed at C. Steinweg’s multi-purpose Süd-West-Terminal.AAL Shipping is deploying the heavy-lift/project cargo ship on its new monthly liner service connecting ports in Europe, the Middle East, India and Asia. The service is overseen by AAL’s Hamburg office, opened in 2012, which also offers tailormade tramp chartering shipping to all regions in the world. Built in 2011, the ‘AAL Kembla’ is one of the carrier’s second generation A-class multi-purpose, heavy-lift vessels.

09 Mar 2020

US to Warn Shipping Industry Against Storing Iranian Oil

© Vladimir / Adobe Stock

The Trump administration will soon issue an advisory warning ports, tankers and shipping industry players against storing Iranian oil in violation of U.S. sanctions, a State Department official said on Monday.David Peyman, the deputy assistant secretary of state for counter threat finance and sanctions, said the United States will also encourage ship captains and others to take photos of anyone conducting ship-to-ship transfers in case those transfers involve sanctioned oil.

03 Mar 2020

Maersk Moves Indian Grapes to Europe

Image: Maersk

The global container company A.P. Moller – Maersk has started end-to-end cold chain logistics solution for its customers exporting grapes from Nashik and Sangli in India to North Europe.With this new offering, Maersk is enabling the exporters from the region to supply high quality Indian grapes to global market and helping fetch higher returns for the farmer community in and around the Nashik district. Leveraging its variety of services throughout the supply chain, Maersk is improving…

03 Mar 2020

The Maritime Industry and COVID-19

© Anton Petrus/AdobeStock

The COVID-19 epidemic, which was first called the novel Coronavirus and then the 2019-nCoV, is spreading fast around the world. It is more contagious than the 2002 SARS outbreak, its cousin, but not as lethal. Unfortunately, its impact on the maritime community seems to already be greater than that of SARS.Ships are being required to submit Maritime Declarations of Health prior to arrival. Ships that called in Chinese ports during the previous 14 days or have persons on board…

02 Mar 2020

Ukraine Weekly Seaport Grain Exports Fall

© Koliadzynska Iryna / Adobe Stock

Ukrainian grain exports from sea ports decreased to 963,000 tonnes in the February 22-28 week, from 1.22 million tonnes a week earlier, preliminary data from APK-Inform consultancy showed on Monday.Wheat exports fell to 52,000 tonnes from 290,000 tonnes, and corn shipments decreased to 856,000 tonnes 921,000 tonnes, the consultancy said.Most of Ukraine's grain exports last week headed to Egypt, Spain and Ireland.The consultancy said grain exports jumped to about 39.8 million tonnes so far during the 2019/20 July-June season, from 28.6 million tonnes for the same period in 2018/19.(Reporting by

02 Mar 2020

China's Bunker Fuel Demand Plummets

© aerial-drone / Adobe Stock

China's marine fuels sales fell by as much as 50% in February as the rapidly spreading coronavirus and prolonged Lunar New Year break strangled freight movement in and out of the global manufacturing powerhouse, trade sources said.The epidemic, which has killed almost 3,000 people and infected about 80,000 in China alone, triggered the sharpest contraction on record for Chinese factory activity in February and caused massive port congestion because of labor shortages.The resulting plunge in freight demand has knocked 40% off Asian prices for very low-sulphur fuel oil (VLSFO) since early Januar

28 Feb 2020

Trafigura, Phillips 66 to Build Deepwater Texas Oil Port

© Vladimir / Adobe Stock

Global commodities trader Trafigura said on Friday it had formed a joint venture with U.S. refiner Phillips 66 to build a major deepwater port in Texas capable of handling supertankers, ditching its own competing project.The Bluewater Texas Terminal, which will be located 21 nautical miles east of the entrance to Corpus Christi port, will consist of two single point mooring buoys that can load Very Large Crude Carriers (VLCCs) capable of carrying around 2 million barrels of oil.Geneva…

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