Trade to grow only in single digits this year
Analyst Alphaliner has reported that the total volumes of containership deliveries in 2013 could hit 2 million teu.This reignites concerns that overcapacity could again become an issue.
It forecasts that total capacity in 2013 would increase by at least 8.9% and as much as 11.3% if all options and letters of intent are exercised.
At the recent Containerisation International 13th annual Global Liner Shipping Conference in London, Nicolas Sartini, Senior vice-president at CMA CGM warned that unless volumes pick up, overcapacity will drive rates down while bunker costs will soar and profitability will plunge.
However, some experts predict trade will grow in single digits this year
Moderate growth in container volumes across Europe seen in the beginning of the year have continued in March, according to Hackett Associates and the Bremen Institute of Shipping Economics and Logistics.
The latest Global Port Tracker: North Europe Trade Outlook said low volumes in February led to a relatively weak quarter, with a total of 5.52 million teu.
This represents a 2.1% increase over the previous quarter and an 8.9% year on year gain. In February it predicted imports in the first quarter of 2011 to increase 7.3% year on year.
European import volumes for March were up 8.6% year on year and 6% month on month.
Export volumes for March were at 1 million teu, 16.1% up on the previous month and 7.8% higher than March 2010.
However, Ben Hackett, Founder of Hackett Associates, predicts trade to grow only in single digits this year, despite capacity increasing in double digits.
Source: The Panama Bulletin
