Heavy Lift Across the World

Drewry remains optimistic on multipurpose recovery

During a webinar earlier this week looking at the latest trends and outlook for the multipurpose shipping market, covering both breakbulk and project cargo sectors, Drewry repeated its optimistic forecast for the sector, predicting further rec

Susan Oatway, Drewry's lead analyst for the multipurpose sector, said this optimism was based on rising demand trends, contracting vessel supply and lessening threats from competing sectors.

Oatway says: "The fundamentals are there (growing demand, contracting supply). The fly in the ointment is always the competing sectors but here too things are looking better. So there is definitely scope to get this market off rock bottom."

She added that whilst demolition levels are still historically low, the multipurpose fleet is contracting as older, smaller, less heavy lift-capable tonnage, which has an average age of over 21 years, is scrapped, adding that new IMO rules on emissions and ballast water will encourage this trend.

However, whilst Drewry sees overall vessel supply moving closer toward balance, the true picture actually has a vast number of simple older vessels weighing the supply side down. "So we have some way to go before we are free of this overtonnage situation," says Oatway.

Asked whether shippers of commodity cargoes that have made a long-term switch from breakbulk to containers will ever return to multipurpose ships, Oatway predicted that where investment has been made on port infrastructure and the logistics chain, there will be no switch back.

"When we talk about the multipurpose market share (of the drybulk cargo market) we do not see it increasing back to pre-2007 levels. Multipurpose volumes only really increase when overall volumes rise."

Speaking about rates, Oatway says that Drewry believes a steady growth of around 2-3 percent per year is possible over the forecast period, with demand growth expected to improve by 0.5 to 1.0 percent over the same period.

If you would like any more information on the material presented on Drewry's new Multipurpose Shipping Annual Review and Forecast 2018-19 report visit this website:

https://www.drewry.co.uk/maritime-research-products/multipurpose-shipping-annual-review-and-forecast-2018-19?utm_source=newsletter&utm_medium=email&utm_campaign=MPV%20webinar 0.000000ollow 0p%20April%2018

www.drewry.co.uk

Heavy Lift | News

Walker steps up at RSS

August 20 - Rope and Sling Specialists (RSS) has appointed Davey Walker as business development director (Scotland), effective August 20.
Views: 89

Dan-Czech handles gearbox shipment

August 20 - Dan-Czech Specialtransport has transported two 55-tonne gearboxes from Pilsen in the Czech Republic to Zeebrugge, Belgium.
Views: 101

Roll Group wins boiler transport

August 17 - Roll Group has been awarded a contract by Italian project forwarder Fagioli for the transportation of three boilers for the Gulf Coast Growth Ventures (GCGV) project in the USA.
Views: 624

DS Lausnir lifts with Modulift

August 16 - Icelandic crane rental company DS Lausnir lifted a 45-tonne boat in Hafnarfjörður using Modulift spreader beams.
Views: 360

Heavy Lift Across The World

Discover heavy lift and project logistics industry news from around the world by region.