Container lines consolidate service networks out of South India as trade expands
11.09.2023
Container lines are rapidly expanding connections out of South India to keep pace with growing trade volumes.
But the concentration of calls at private box terminals operated by Adani Group, which act as alternatives to Chennai Port, is becoming increasingly evident.
HMM has cemented its network with direct sailings out of Adani Kattupalli Port (AKPPL). Its FIM [Far East Asia-India-Mediterranean] service is a major boon for southern India shippers traditionally tethered to transshipment over Sri Lanka’s Colombo Port for mainline connections.
The FIM rotation is Busan, Kwangyang, Shanghai, Ningbo, Shekou, Singapore, Port Klang, Kattupalli, Nhava Sheva, Mundra, Karachi, Jeddah, (Suez Canal), Damietta, Piraeus, Genoa, Valencia, Barcelona, Piraeus, Damietta, (Suez Canal), Jeddah, Karachi, Mundra, Nhava Sheva, Kattupalli, Singapore, Da Chan Bay and back to Busan.
In addition, CMA CGM has opened a new string out of Adani Ennore Container Terminal (AECTPL) for North Europe and the Mediterranean. The NEMO [North Europe-Mediterranean-Oceania] Service rotates Ennore, Colombo, Malta, Valencia, London Gateway, Rotterdam, Hamburg, Antwerp, Le Havre, Fos Sur Mer, La Spezia, Malta, Pointe Des Galets, Port Louis, Sydney, Melbourne, Adelaide, Singapore and Ennore.
“This new call will offer our customers a fast export connection from the main commercial area in South East India to Europe together with a direct import connection from Australia and Singapore,” said CMA CGM in a customer advisory, announcing the Ennore call.
The carrier further noted, “Ennore is also a natural gateway from/to ICD [inland container depot] Bangalore covered with an efficient rail connectivity and will provide a best-in-class service to the fast-growing automotive industry.”
The NEMO competes directly with Maersk’s ME7 Service, connecting South India trade via Ennore to North Europe.
The ME7 port rotation is Ennore, Colombo, Salalah, Algeciras, Felixstowe, Rotterdam, Bremerhaven, Jeddah, Salalah, Colombo and Ennore.
With more call additions, Kattupalli and Ennore have already made sizeable inroads into the Chennai market. According to available data, Kattupalli saw 58,046 TEUs last month, while Ennore handled 59,985 TEUs.
The growing shift of volumes to emerging port locations poses challenges for box terminals at Chennai Port, putting further investment in capacity development there at risk.
CMA CGM halts Mediterranean service as rates sink
06.09.2023
CMA CGM’s new Asia-Mediterranean service has fallen victim to falling freight rates, after just six sailings.
The French carrier has suspended its newly launched Turkey-Libya Express (TLX) service, which commenced in July, calling at Shanghai, Ningbo, Nansha, Singapore, Jeddah, Iskenderun, Malta and Misurata, with ad hoc calls at Lianyungang and Tripoli. TLX had its last sailing on 11 August.
Rates to the Mediterranean have been rapidly deteriorating after holding on to the premium over the Asia-North Europe lane since last year.
Linerlytica observed that supply-side pressure is increasingly negative for Asia-North Europe and Asia-Mediterranean lanes.
The removal of the TLX service will not be enough to tilt the balance, due to record newbuilding deliveries and weak capacity discipline.
Long-haul rates are expected to come under more pressure this month, in the lead-up to the week-long National Day holiday starting 1 October in China.
General rate increases on 1 September helped to lift Transpacific rates, even as Asia-Europe rates continued trending downwards.
Asia-US West Coast rates went up to US$2,136/FEU, up nearly 7% from the previous week, while Asia-US East Coast rates increased about 3%, to US$3,132/FEU.
Asia-Europe rates lost 4%, to US$768/TEU, while Asia-Mediterranean rates fell 6% to US$1,364/TEU.
Linerlytica’s report today (5 September) noted, “Transpacific freight rates rose by US$100 after the 1 September GRI but the rate gains were lower than expected and carriers have already started to cut rates with the outlook turning negative.”
The consultancy noted that several carriers have already withdrawn their Transpacific peak season surcharges (PSS), signifying the early end of the peak season even before the Golden Week holidays in China in October. East Coast and Pacific Northwest rates are under pressure with capacity still in excess supply on these two routes compared to the Pacific Southwest where demand and supply is more balanced.
Mawani, Antwerp Port sign landmark agreement to strengthen trade relations
30.08.2023
The agreement formalised by Mawani President Omar Hariri and PAI Chief Commercial Officer Tom Hautekiet marks a significant milestone in the authority’s efforts to enhance corporate governance and boost efficiency and quality in the kingdom’s ports sector, in line with the Saudi Vision 2030 programme objectives to position the country as a leading global logistics hub.
The strategic partnership aims to capitalise on existing competencies to bolster trade relations and develop ports’ infrastructure, as well as optimise operational performance and technical expertise, promote digitalisation, and upskill the sector’s workforce across various disciplines to meet the demands of a rapidly evolving industry.
Furthermore, the collaboration aims to minimise the shipping industry’s environmental impact and embrace advanced technologies to automate operations and boost efficiency across the kingdom’s ports.
Ship traffic to resume in Turkey’s Bosphorus Strait after suspension
23.08.2023
Ship traffic in Turkey’s Bosphorus Strait is set to resume for northbound vessels as of 0820 GMT on Wednesday, after a suspension due to an engine failure on one ship, the Tribeca shipping agency said.
According to a report shared by the agency, Liberia-flagged tanker Guanyin carrying diesel fuel and vacuum gasoil had an engine failure at the strait’s northern entrance and two tugs were dispatched for assistance.
The bakeries unions in Lebanon warned yesterday, “of a catastrophe that may occur in the bakeries in the event that the import movement in the Black Sea is subjected to security and military chaos due to the Russian-Ukrainian war, because Lebanon does not have enough stocks of wheat and grains. It has no more than two and a half months, due to the loss of main silos in August 4, 2020 Beirut port explosion
New container shipping line established in Dubai
14.08.2023
A new shipping company is starting operations and is going to enter Russia trade, according to DynaLiners report. CStar Line has been established in Dubai by undisclosed owners and will be headed by Zsolt Katona, who previously worked for Danish shipping giant Maersk.
The new firm seems to have chartered 18 container ships with an overall box capacity of 23,000 TEUs. CStar Line seems to expect two additional vessels of 2,000 TEUs and a box fleet of 27,000 TEU dry boxes and 1,500 refrigerated containers.
According to DynaLiners, all capacity will be allocated to the Russia trade, for which it has set up the following network of services provided by a combination of its own (chartered) vessels, vessel sharing agreements (VSA) and slot charters.
Shortsea/Feeder services:
EMBA1 - Istanbul (Ambarli), Kaliningrad, St. Petersburg and back to Istanbul
EMBS1 - Haifa, Alexandria, Novorossiysk and back to Haifa
EMBS2 - Izmit (Safiport), Istanbul (Ambarli), Novorossiysk and back to Izmit
FEFE2 - Rizhao, Ningbo, Vostochny, and back to Rizhao
FEFE3 - Busan, Vostochny and back to Busan
FEFE4 - Dalian, Busan, Vostochny and back to Dalian
Long-haul VSAs and slots, including:
ISEM1 - slots from Global Feeder Shipping and Mountain Air Shipping (MAS) -
Mundra, Nhava Sheva, Jeddah, Istanbul (Ambarli), Jeddah and back to Nhava
Sheva
FEBA1 - VSA with OVP Shipping and MAS with Qingdao, Shanghai, Ningbo,
Guangzhou (Nansha), Port Kelang, Istanbul (Ambarli) and back to Qingdao
FEFE1 - slots from Inteco Lines and OVP Shipping - Guangzhou (Nansha),
Shenzhen (Yantian), Xiamen, Shanghai, Vostochny and back to Guangzhou