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The global containership fleet has passed the 23m teu in capacity mark as ultra-large newbuilds continue to be delivered.
According to analyst Alphaliner the global container shipping fleet passed the 23m teu mark last week with the delivery of two 23,000 teu newbuildings to MSC for deployment on the Asia – Europe trade with 2M partner Maersk Line.
The new milestone comes 14 months after the container shipping fleet passed the 22m teu in capacity mark in July 2018. The move up to 23m teu has also been powered by a low scrapping rate. This year has seen 826,000 teu in new capacity compared to just 165,000 teu scrapped.
“A strong charter market gives owners little incentive to recycle ships, and several vessels that were initially bound for the breaking yards are now being kept in active service,” Alphaliner said in its weekly newsletter.
The analyst has lowered its scrapping forecast for the year from 350,000 teu to 250,000 teu.
Marseille Fos Wants to Be Mediterranean’s 1st Fully Electric Port by 2025
The Port of Marseille Fos has unveiled a new eco-friendly initiative that supports the port’s goal of becoming the Mediterranean’s first fully electric port by 2025.
As disclosed, the port authority plans to spend EUR 20 million (USD 22 million) over the next six years to extend shoreside electrical connections for berthed vessels to every ferry, cruiseship and repair quay within the Marseille eastern harbor.
Already available on the Corsica ferry quays, the network will be expanded in two phases to cover North Africa ferry quays and the ship repair hub by 2022 and the cruise terminal between 2022 and 2025.
The zero-emissions investment — backed by the national and regional government — is aimed at improving the city’s waterside air quality while maintaining the port’s value to the economy.
“We are convinced that ecological transition is the springboard to economic growth. That’s why we are investing heavily to become the Mediterranean’s first 100% electric port by 2025,” Hervé Martel, CEO of Marseille Fos, commented.
Together with twelve other partners, the Port of Marseille Fos is also participating in a three-year research program exploring the commercial potential of recycling untreated industrial CO2 emissions via a new seaweed-based biological process to produce biomass energy.
The Port of Marseille Fos is the largest port in France and the second-largest in the Mediterranean. For access to the French and European markets, it is seen as the southern alternative to the northern European ports.
Maersk, Koole Terminals to Produce IMO 2020-Compliant Fuel in Rotterdam
Maersk’s subsidiary Maersk Oil Trading has teamed up with liquid bulk storage operator Koole Terminals for the production of IMO 2020-compliant bunker fuel in the Port of Rotterdam.
Maersk said the agreed annual production was expected to cover 5-10% of Maersk’s annual fuel demand, allowing the company to expand its bunker supply volumes in Europe.
“The fuel manufacturing process allows Maersk to produce compatible low sulphur fuels that complies with the IMO 2020 sulphur cap implementation, reducing the need to rely on 0.1% price-based gasoil and fuel oil outside the ECA zones,” Niels Henrik Lindegaard, Head of Maersk Oil Trading at A.P. Moller – Maersk, said.
The IMO 2020 0.5% sulphur fuel cap will be implemented globally as of January 1, 2020. Bunker fuels within the ECA (Emission Control Area) zones will remain at the current cap of 0.1% sulphur. Koole’s Petrochemical Industrial Distillation (PID) unit, located at the company’s Botlek site at the Port of Rotterdam, will allow Maersk to produce such ECA 0.1% sulphur fuel.
The deal with Koole Terminals follows Maersk’s agreement with PBF Logistics from February this year, which will allow Maersk to supply IMO 2020-compliant marine fuel to customers on the US East Coast.
Additionally, in August 2018 Maersk signed a leasing agreement with Vopak for storage of 2.3 million mt 0.5% compliant fuel at the Vopak Europoort Terminal in Rotterdam.
Hamburg Süd launches digital booking application
Hamburg Süd has expanded the e-commerce offerings with a digital booking application dubbed INSTANT.
The smart application for booking containers online, will have fixed rates and guaranteed transport, and the company said customers will benefit from enhanced certainty in their planning, transparency and efficiency, and lower prices
INSTANT is now available for Hamburg Süd services between South America East Coast and Europe or Asia as well as between Asia and Oceania, and it will gradually be extended to more trades.
Users will be able to view fixed prices and book their cargo directly – all of it online. Bookings can be made up to four weeks prior to the planned shipment.
The earlier the booking is made, the lower the total price for the customer – and subsequent price changes or additional fees will no longer apply. At the same time, Hamburg Süd will guarantee to customers booking cargo via INSTANT that there will be sufficient space for it on the selected connection, thereby enhancing the predictability of their transportation chain.
“With INSTANT, booking a container will be just as easy and fast as booking a flight online. You only need a few clicks,” explains Frank Smet, cco of Hamburg Süd. “With it, we are creating a smart digital complement to the personal customer service that Hamburg Süd customers are used to.”
First direct container route between Guangzhou and the east coast US
Maersk Line, MSC, ZIM, Hamburg Süd, and Hyundai Merchant Marine have added the first direct connection from the southern Chinese port of Guangzhou to the east coast of the US.
The ships will call at Nansha port of Guangzhou each Monday, and arrive at Newark Port of the United States in 32 days, and Charleston Port in 37 days, with the lines twelve 8,200-8,500 teu containerships.
This new route to the east coast of United States will provide a fast and direct shipping service to the clients, said Guangzhou Port Group.
Guangzhou port is one of the busiest ports in South China. As the end of August 2019, Guangzhou Port Group operates 154 container liner services, including 109 foreign trade routes and 45 domestic trade routes.
ILWU: Automation of BC Terminals to Cause Major Job Cuts
Automation of British Columbia container terminals could lead to a loss of thousands of jobs, according to a report commissioned by the International Longshore and Warehouse Union Canada.
The study found that automation is likely to eliminate more than 9,200 marine terminal jobs across BC, taking into account new employment automation may create.
“Like many other sectors, automation is sweeping the marine industry world-wide with steep declines in employment of up to 90%. It’s only a matter of time before such automation happens here too,” Rob Ashton, President of the ILWU Canada, said.
“Disruption on this scale will be felt by the provincial economy and will have an acute effect in some local communities, particularly those that rely on this industry for good jobs and the economic benefits they bring locally,” John O’Grady, founding partner of PRISM Economics and Analysis, added.
ILWU noted that the provincial economy “stands to take a material hit from income lost in excess of CAD 600 million (USD 453.3 million) annually, with tax revenues declining more than CAD 100 million a year.”
The study forecasts that 11% of middle-income employment (CAD 70,000+ per year) and 23% of high-income employment (CAD 100,000+ per year) in the community of Delta alone risk being eliminated due to future automation in the marine terminal industry. In Prince Rupert, one quarter of middle-income and two-thirds of high-income employment is at risk of elimination.
“The companies that automate these jobs out of existence stand to benefit. It is equally clear that workers, communities and governments would be left to pick up the pieces after the damage is done,” said Rob Ashton.
To address job loss from automation in the marine terminal and other sectors of the economy, the ILWU Canada is calling on all federal party leaders to commit to modernize Canada’s approach to labour market adjustment.
The union is also calling on all governments “to stop rewarding companies with tax breaks and subsidies when they automate good middle-class jobs out of existence to their exclusive benefit.”
Essar Ports: Green Ports Are the Future of the Industry
Maritime industry stakeholders all over the world are increasing their contribution to the reduction of carbon footprint. While shipping companies decided to modify their vessels in order to comply with the upcoming 2020 Sulphur Cap regulation, the port industry took their own measures to cut pollution.
One of these is India’s second-largest, private-sector port and terminal company by capacity and throughput, Essar Ports, that has a total operational capacity of 110 MTPA in India.
Speaking to World Maritime News, the company’s CEO & MD, Rajiv Agarwal, said that Essar Ports believes that green ports “are truly the future of the industry.”
Rajiv Agarwal, CEO & MD, Essar Ports
Agarwal explained that the company took numerous steps and has invested in reduction of the carbon footprint at all of its four terminals by implementing technologies such as cold-fog system, sprinkling systems for dust and pollution control, completely mechanized handling facilities ensuring zero spillage and covering the entire conveyor system.
He added that these measures “have been pivotal in our vision of developing environmentally friendly facilities.”
Additionally, developing deeper draft ports and terminals enabled operations with larger parcel size “which further the initiative lowering carbon footprint. We will continue to invest in modern technologies which ensure cargo handling through environmentally friendly means.”
Essar Ports’ terminals are focused on bulk and dry bulk cargoes that are primarily used as raw material in core sector industries, like steel, power and cement.
So far, the company has invested more than USD 1.6 billion in the development of port terminal facilities in India. Essar Ports said that its terminals are not only capable of handling the biggest ships sailing today “but also provide one of the best turnaround times of India,” contributed by the modernization and development of the company’s Vizag iron ore handling complex.
The iron ore handling complex can now berth Super Capesize vessels up to 200,000 dwt, with a depth of 20 metres. The 24-million-tonne terminal has seen a growth rate of 45% in overall cargo throughput driven by a sharp increase in new customers, the company explained.
Speaking about Essar Ports’ future plans, the CEO noted that the company is always on the lookout for opportunities to grow its businesses as the four terminals have further expansion possibilities.
“Our target is to grow at a rate of more than 20% in the near future. To achieve this growth we have put a strategy in place to expand our customer base in the near future. The focus is now on increasing revenue, diversifying cargo base, optimizing costs, and improving our operational and financial performance.”
During the first quarter of the year, Essar Ports reported a 17.4% growth in cargo volumes across its four terminals. The combined throughput stood at 13.5 million tonnes, up from 11.5 million tonnes in the same period of 2018.
Of the four terminals, the Salaya and Vizag terminal showcased a strong performance in cargo handling with a striking increase in third-party cargo utilization thereby helping the company achieve its target of handling 60 million tonnes of cargo by the end of the current financial year.
Sustainability in shipping – more than emissions and alternative fuels
Sustainability in shipping is about much more than just emissions and alternative fuel and industry needs to take a much broader approach say leading shipowning and chartering executives.
Hor Weng Yew, ceo of dry bulk shipowner Pacific Carriers Ltd (PCL), told the Shipping 2030 Asia conference in Singapore, “A lot of sustainability in shipping is really about fuel and emissions, and I feel the industry needs to take a broader and certainly a bolder approach to it.”
“Fuels and the environment is important, but I think it is also about efficiency of assets, utilisation, the circular economy, and how we operate our business consuming the least resources of the earth,” Hor explained to delegates at the conference organised by KNect365 Maritime.
“I’ve not heard much about talking about people, that’s another important resource – the human resource, so what does is mean for the welfare of our crew and our staff, the risk and safety? Are we really talking holistically about sustainability.”
It was similar message from one of the world’s largest commodity shippers BHP Biliton. “Looking at sustainability I agree it’s not just about the emissions, the green ships and eco-ships, it’s about the safe carriage of the cargo and the crew welfare as well, that is also important,” said Prashanth Athipar, principal ocean freight sustainability, BHP Biliton.
While BHP is mining company that does not own ships it sees that it has wider responsibility as a user of shipping services. “All we are interested in is shipping more cargoes, we are not a shipping company, we are mining company…but we go beyond that commercial interest, we are looking at the crew welfare, we look at the emissions of the engines.”
He noted that in its first in the world tender for LNG-powered capesize to transport 27m tonnes of iron ore the company was not simply looking for a capesize bulker fitted with a gas turbine, we looking at what else the owner can bring to the table such as fuel efficiency, the crew and how the company would respond to an incident.
PCL’s Hor believed that there was risk over time that some in shipping had forgotten their business was part of a larger supply chain, with more of a focus on areas such as asset play. “What I see is the megatrend of shipping as the service provider in the whole supply chain integrating into the cargo interest,” he said.
Hor sees shipping splitting into two markets, one with independent shipowners who will continue with the traditional business model, and second where he sees, “An emerging thinking with certain shipping as how to align better with cargo interests”. This is where the end user may dictate the carbon footprint, this is passed onto the cargo interest, and in turn translated to the shipowner, with everyone prepared to collaborate.
Already taken 503 scrap containers out from Vietnam territory
Vietnam Customs News – According to provincial customs departments, until now, the number of containers declaring on manifest as scrap ineligible for import in to Vietnam that were refused to implement procedures by Customs authorities and forced shipping lines to take out from Vietnam’s territory was 503 containers.
Currently, the number of backlogged containers counted in August 16, the number of containers declaring on e-manifest as scrap stored at seaport was 10,983 (down by 976 containers compared to the previous month).
In particular, the number of containers kept for less than 30 days was 3,842; the number of containers from 30 days to 90 days was 38; the number of backlogged containers kept over 90 days was 7,103 (decreasing by 976 from the previous month).
The General Department of Vietnam Customs has requested the provincial Customs Departments to implement strict control, if it was suspected scrap, customs authority would conduct the inspection, enforcement processing to shipping lines and forcing to re-export. At the same time, they must continue to strictly manage scrap and used goods that were backlogged in the customs management area and strictly handle violations; strictly control those goods items before importing them into Vietnam; chair and coordinate with the specialized management ministries in implementing solutions to improve the efficiency of specialized inspection activities for import and export goods.
Many new regulations about procedure for mails, packages or parcels sending via postal service, express delivery
Vietnam Customs News – The Ministry of Finance has promulgated Circular 56/2019/TT-BTC amending and supplementing a number of articles of Circular 49/2015/TT-BTC stipulating customs procedures for mail, packages or parcels of goods exported or imported through postal services provided by authorized enterprises and Circular 191/2015/TT-BTC stipulating customs procedure for goods exported, imported and transited through international express delivery.
Many regulations relating to place of implementing customs procedures and declaring customs dossiers were amended.
Regarding the contents amended in some articles of Circular 49/2015/TT_BTC, the amended circular has some points to note as follows:
On the place of implementing customs procedure, it would be implemented as following regulation in Point 1, Decree 59/2018/NĐ-CP of the Government.
About customs declaration, the declarants would implement in the form of e-declaration. In the case of regulating in the Clause 2, Article 1 of Decree 59/2018/ND-CP amending and supplementing Decree 08/2015/NĐ-CP, the declarants could select to declare in the form of electronic or paper.
Based on the shipping information of the consigner on the CN22, CN23 declaration, postal number E1QT, dossiers, documents of the package, import and export goods parcels, information provided by the goods owner to the enterprise and internal warning information of enterprises about the difference between the declared information of the sender about the goods, the value of goods and the actual goods as well as relevant documents (if any) in order to group commodities.
For parcels, packages of import and export goods are divided into two groups. Group 1: parcels and packages of exported goods which met requirement of have customs valuation is under 5 million VND; are exempted from export duty or subjected to export tax at the rate of 0 percent; are not belong to goods item subject to export license, specialized inspection.
Group 2: Parcels and packages of exported goods that are not in group 1; packages of export goods belong to group 1 but the goods owner or the person authorized by the goods owner to implement customs procedures; parcels and packages of goods that have internal warning information of enterprises; parcels and packages of goods suspected of customs value.
For parcels, packages of imported goods are also divided into two groups. Group 1: parcels and packages of imported goods that have customs valuation in the duty-free quota and not belonging to the goods item subject to import license and specialized inspection.
Group 2: Parcels and packages of imported goods are not in group 1; packages of imported goods belong to group 1 but the goods owner or the person authorized by the goods owner to implement customs procedures; parcels and packages of goods with internal warning information of enterprises; parcels and packages of goods suspected of customs value.
In case of missing information on CN22 and CN23 declarations, postal number of E1QT in form of paper or electronic copy for grouping and carrying out customs declaration, enterprises should preview packages and parcels of goods in areas with camera supervision, under the supervision of customs officials. Enterprises should group and implement customs declaration pursuant to the conditions of parcels and packages of goods or customs officials to handle violations in cases where parcels and packages of goods are not allowed to be imported in accordance with the law.
If customs officials detect the declaration is declared in groups of parcels or packages of goods improperly as regulated, it would be handled in accordance with the law. Enterprises that have stored packages and parcels that are divided into groups improperly in separate areas and continue to carry out customs procedures for packages and parcels of goods in correctly divided groups. Customs officials will carry out physical inspection of packages and parcels that are groups improperly when carrying out procedures of new customs declarations.
The circular also stipulated that enterprises send announcements about the time to carry out customs procedures for parcels, packages, goods on holidays and overtime via the Customs electronic data processing system or by paper document sent to Customs authorities. The time for sending announcements should comply with the provisions of Clause 1, Article 4 of Circular 38/2015/TT-BTC.
The new Circular also facilitates enterprises to implement customs procedures in a fixed time outside of working hours. Specifically, in case of a need to implement customs procedures for parcels and packages of goods of enterprises within a fixed period, not coinciding with eight working hours as prescribed, enterprises should notify in paper document to the customs authorities about working hours and the time of applying working hours for Customs authorities to arrange customs procedures.
Notably, Circular 56 amends and supplements regulations on export, import postal items at border gates. Specifically, export postal item transfering border gate refers to the export postal item that has completed customs procedures and transported from the place of carrying out export procedures, sent to the place of gathering, centralised inspection and supervision of postal item, express delivery or from the place of gathering, centralised inspection and supervision of postal item, express delivery to other place of gathering, centralised inspection and supervision of postal item, express delivery or from theplace of gathering, centralised inspection and supervision of postal item, express delivery to the export border gate.
Import postal transfering border gate refers to a postal item that has not completed customs procedures and is transported from the entry gate (where the item is sent to Vietnam) to a place of gathering, centralised inspection and supervision of postal item, express delivery or transported from the place of gathering, centralised inspection and supervision of postal item, express deliveryto other place of gathering, centralised inspection and supervision of postal item, express delivery.
Regarding customs procedures for exported, imported and transited goods sent via express delivery service as prescribed in Circular 191/2015/TT-BTC, the new circular also amended the regulations relating to applicable subjects, places of implementing customs clearance; dividing commodity groups and customs procedures for each commodity group; customs supervision of exported and imported goods at the gathering place andcentralised inspection of postal and express delivery goods.
The Circular 56/2019/TT-BTC will be valid from October 15, 2019.
Simple, fast, online: Hapag-Lloyd launches online marine insurance “Quick Cargo Insurance”
Hapag-Lloyd is expanding its digital product portfolio. As one of the first container shipping companies, Hapag-Lloyd is now offering its customers an online marine insurance, available on the Hapag-Lloyd website. “Quick Cargo Insurance” provides customers with tailor-made insurance offers around the clock. The insurance cover takes effect immediately upon conclusion of the contract.
“Not every cargo transported by sea is insured, yet. For instance, small and medium-sized customers often do not take out insurance for cost reasons. Our “Quick Cargo Insurance” proves that insurance does not have to be complicated and expensive,” explained Ralf Belusa, Managing Director Digital Business & Transformation at Hapag-Lloyd. Customers of “Quick Cargo Insurance” benefit from a particularly user-friendly, digital service offering. “With just a few clicks, the customer can select and take out his insurance benefits. All contract documents are available immediately, so the load can be insured quickly and unbureaucratically,” said Belusa.
“Quick Cargo Insurance” is already available for exports from Germany, the Netherlands and France, but expansion to other countries is planned.
Co-operation with industrial insurer Chubb “Quick Cargo Insurance” was developed by Hapag-Lloyd in co-operation with the industrial insurer Chubb in Germany. “We collaborated with Hapag-Lloyd to create this modern, digital product that offers container shipping customers the opportunity to obtain insurance cover through simplified, fast processes,” explained Marc Heidelbach, Easy Solutions Manager for Germany and Austria at Chubb in Frankfurt.
(Source: World maritime news; Seatrade maritime; American Shipper; VN Customs News)
