In the highly competitive breakbulk cargo sector, Wallem Ship Agency continues to benefit from its ability to serve clients with specific needs and niche market requirements. With a focus Southeast Asia, the ship management group is quietly optimistic, writes Dickson Chin, managing director at Wallem Ship Agency.
Nearly two years after taking Wallem Ship Agency into the sector, Wallem Group’s project cargo business volumes continue to grow, with the number of breakbulk carriers working with our dedicated team significantly increasing through 2024.
Being an agent that is part of the wider ship management group is an advantage, where technical shipping and port knowledge is often invaluable for clients. We remain focused on the Southeast Asia market from Japan to Malaysia and continue to grow specific cargo opportunities by building strong client relationships with OEMs and carriers across Asia.
We continue to build strong relationships with well-known maritime leaders, such as AAL Shipping, BBC Chartering, United 07 and Clipper Bulk, and we are also developing our links with Saudi-based Bahri Line. These are high-profile clients, all of whom share our values in respect to quality of service, and with whom we develop lasting partnerships where mature knowledge of trade routes, types of cargo, and rate expectations enhance our ability to secure cargoes for specific carriers.
In the highly competitive breakbulk cargo sector, we operate on a smaller scale than the larger freight forwarding companies and we are therefore not in competition with their operational set ups: we serve clients with specific needs and niche market requirements.
Our advantage is our strong network: our team covers all of Southeast Asia and we can quickly mobilise to offer sound solutions, building professional relationships that maintain the personal touch. Our purpose is to offer a one-stop-shop to take care of all requirements door to door, from the production line through inland trucking and storage and onward shipment to the client’s premises, ensuring a stress-free service for our clients.
The market is quietly optimistic in 2025, with the forecast demand for breakbulk and project cargo remaining buoyant, driven by ongoing infrastructure projects plus the energy sector. Freight rates continue to be the challenge, however, and are expected to remain volatile. Geopolitical tensions, space capacity constraints, regulatory restrictions in the major economies, port disruptions, tightening environmental rules and seasonal demand fluctuations will all act to continue disrupting the global supply chain.
In addition, like others, we can only speculate on how US trade tariff proposals for China, Canada, Mexico and Europe will impact cargo markets, although disruptions in supply chain flow are highly likely.
The challenge for us and everyone in the breakbulk and project cargo sector lies in navigating the current shipping market environment by adopting a risk-based approach to minimise exposure to market risks.
Nevertheless, there are good opportunities in the breakbulk cargo market, especially in serving lesser-known destinations where mainstream carriers are not regularly in evidence. Our established team is in an excellent position to capitalise across our network throughout Southeast Asia.
Opportunities will also be available as China’s One Belt One Road initiative moves further toward Saudi Arabia and away from Europe, Australia, and Africa, as it seeks to invest in infrastructure projects in new destinations, and work with new trading partners.
Certainly, Wallem will continue to build its competitive services to ensure we deliver excellence to our clients, taking advantage of the ‘win-win’ position we occupy as an agency business in our own right and as a team supported by a wider ship management and commercial group capable of delivering the total shipping experience.
