Market of today - E

Report
MARITIME ECONOMICS
THE FAMILY OF CONTAINER SHIPS – FULL CONTAINER VESSELS
Table of Content
Introduction
History
Technical Aspects
Operations
Market of Today
Future Vision
Conclusıons
Table of Content
Introduction
History
Technical Aspects
Operations
Market of Today
Future Vision
Conclusıons
Introduction
Guess what???
Table of Content
Introduction
History
Technical Aspects
Operations
Market of Today
Future Vision
Conclusıons
History
Production
growth
International
trade
development
Cargo protection –
damage decrease
Increase of
shippers demand
Cost reduction by
automation
History
 Containerization has its origins in early coal mining regions in England beginning in the
late 18th century.
 Containerization has increased the efficiency of moving traditional break-bulk cargoes
significantly, reducing shipping time by 84% and costs by 35%.
 IDEAL X was the first commercial successful container ship in 1956. Capacity = 58 ctnrs
Nowadays containerships capacity reaches 18’000 TEUs (MAERSK Triple E-class)
History
T-2 oil tanker
On April 26, 1956 the Ideal X carried 58 containers from Port Newark , New Jersey,
to Port of Houston, Texas, where 58 trucks were waiting to be loaded with the
containers
History
Container ships evolution
http://people.hofstra.edu/geotrans/eng/ch3en/conc3en/containerships.html
History
THE SPEED
Some ships with huge power plant(s) and multiple screws could achieve speeds up to 28 knots.
 In 1972/73 Sea-Land took delivery of eight 33knot containerships capable of carrying 1900
TEU. This speed was realized by installing two
steam turbines and two screws.
 However, they turned out to be an economic
failure when fuel prices went skyward and the
vessels were sold to the U.S. military.
 Nowadays service speed is in the 24-26 knot
range.
SS Regulus
Table of Content
Introduction
History
Technical Aspects
Operations
Market of Today
Future Vision
Conclusıons
Technical Aspects
INFRASTRUCTURE & PORT CALLS
Base Ports (Hub) &
Port-to-port service
Feeder Ports
• Port had the control of the cargo,
• Vessel went to the port to get cargo,
• There was always a vessel looking for
cargo, so port did not invest in
equipment,
• Consequences: Vessels navigating
below their capacity,
• Ports with low performance.
• Liner companies took the control,
• Started to plan the itinerary which
gave economic advantage (optimized
vessel capacity = lower cost),
• Consequences: competition between
ports to attract liner services,
• improvement in port investments,
• Improvement on performance =
efficiency and productivity.
...then things
changed
Source: STOP, F. (2009) Maritime Economics (3rd Edition) London and New York
Technical Aspects
INFRASTRUCTURE & PORT CALLS
Modern container ports can stretch over vast areas of
land and handle millions of tons of cargo each year.
The Port of Singapore handles a vast array of cargo,
including containers and conventional and bulk cargo
Port designed to attend the
demand of shipper lines.
Source: http://www.ship-technology.com/features/feature75321/feature75321-2.html
Technical Aspects
Container Vessels
Projects
Ship Container = complex engineering
project which should be taken in
consideration:
- Safety
- Balance and stability
- Resistance against the nature forces,
- Profitability & Capacity, etc…
http://forshipbuilding.com/ship-types/container-ship/
1. bridge castle front,
2. deck containers,
3. foremast and mast top,
4. forecastle,
5. insulated containers in holds,
6. container refrigeration ducts,
7. double hull composed by a complex
arrangement of steel plates and
strengthening beams
8. passageway
Bays / Rows / Tiers
Technical Aspects
Cargo Holds
 EFFICIENCY = ships are specially
constructed to speed loading and
unloading, and to efficiently keep
containers secure while at sea.
 Cell Guides = strong vertical
structures constructed of metal
installed into a ship's cargo holds
 CARGO PLAN = Is the key to minimize the vessel time on berth
http://en.wikipedia.org/wiki/Container_ship
Technical Aspects
LASHING SYSTEM
 Numerous systems are used to secure containers aboard ships, depending on factors
such as the type of ship, the type of container, and the location of the container.
Vessel and Cargo Safe!
 In general we have 3 systems:
-
lashing systems (secure containers to the ship)
locking systems (the effectiveness of lashings is increased by securing containers to each other )
buttress systems ( = pillar = used on some large container ships - system of large towers attached
to the ship at both ends of each cargo hold)
http://en.wikipedia.org/wiki/Container_ship
Technical Aspects
INCIDENT - LASHING SYSTEM
Technical Aspects
CONTAINER - TYPES
Dry storage container
Open side storage container
Flat rack container
Refrigerated ISO containers
Open top container
Tanks
Tunnel container
Car carriers
According to Drewry Maritime Research:
Global container fleet = 32.9 million TEU in 2012**
Dry container 92%, refrigerator 7%, tank 1%
http://www.marineinsight.com/sports-luxury/equipment/16-types-of-container-units-and-designs-for-shipping-cargo/
Table of Content
Introduction
History
Technical Aspects
Operations
Market of Today
Future Vision
Conclusıons
Operations
WHAT TO DO TO TRANSPORT CARGO IN A
CONTAINER VESSEL?
Operations
1st Step
The Owner decides attend the demand using the maritime modal.
This demand can be domestic (cabatoge) or an import / export operation.
Operations
2nd Step
Check which shipper line could attend with the best conditions (price,
route, schedule).
Should be in accordance with what was planned.
Operations
3rd Step
Inform the shipper line how many containers and what kind of goods will
be loaded. Shipper line will inform your Booking number.
Booking Number: reference number of your reservation that contains type of container,
which vessel, dead line, Origin and Destination Port.
Operations
4th Step
With this #Booking number# you can provide the pick up of your empty
container from the “depot”.
DEPOT = is the local that shipper line storage your empty and full containers.
Operations
5th Step
Load the cargo inside the container – in this stage it´s necessary to arrange
all details to load the cargo in a safe way.
Plan what´s necessary to maintain the integrity of the cargo and vessel during navigation.
Steel Coil = 12 ton
Operations
6th Step
ORIGIN PORT load the FULL container in the vessel.
Attention to the dead-line to avoid losing the ship.
Operations
7th Step
During your cargo navigation it´s possible to track & trace.
This information comes from the Shipper Line.
Operations
8th Step
DESTINATION PORT UNLOAD the containers
Shipper Line gives some free days to pick up the FULL container and then return EMPTY in perfect
condition. In this moment, DEPOT makes an inspection in the container, and if detected any damage
caused by the cargo owner will pay this cost.
Operations
9th Step
The terminal UNLOAD the cargo.
Use appropriate equipments to unload in a safe way and without damage.
Operations
10th Step
Final destination…
Lessons learned and check which items shoud be improved!!
Table of Content
Introduction
History
Technical Aspects
Operations
Market of Today
Future Vision
Conclusıons
Market of today
Trends & Key Development of Global Container Ship Industry:
How it looks now?
Containerization has rapidly increased over the
past 30 years;
Standardization of transports constantly
increases the intermodal transport from doorto-door, improves transit and turnaround times
and reduces cargo damage;
Containers continue to replace bulk and other
forms of shipping goods, especially with
specialized and higher value-added products;
Sophisticated systems and controls are the key
in creating a competitive advantage for
container shipping companies.
Market
today
Future of
Vision
The Role of Container Shipping on the Global Trade
In comparison with DWT share
of vessels and the share of the
value carried, container ships
carry 27 more seaborne trade
than dry bulk carrier.
In terms of value of the
good, container shipping
account for more than
50% of the global trade.
Source : Review of Maritime Trade 2012 UNCTAD, EU Commission Press 28/03/2012
%16
of
the
seaborne
trade
tonnages
are
containerised.
From
the
economic
perspective, rise of the
costs and low margin of
earnings
enforce
companies
to
make
alliances and oligopolies.
Market of today
Global Container Trade 1996-2013 (millions of TEU and annual growth)
Source : Review of Maritime Trade 2012 UNCTAD
Market of today
Distribution of Container Ships among the Companies
Source : Alphaliner Annual Review 2012
Market of today
Trends & Key Development of Global Container Ship Industry: what it
is challenged by?
NEW SHIPPING ALLIANCES
• TOP 3 container shipping companies of the
world CMA CGM, Maersk Line and MSC
Mediterranean Shipping Company SA have
agreed to establish a long-term operational
alliance on East – West trades, called the
P3 Network.
• The aim is to improve and optimize
operations and service offerings.
• The P3 Network will operate a capacity of
2.6 million TEU (initially 255 vessels on 29
loops) on three trade lanes: Asia – Europe,
Trans-Pacific and Trans-Atlantic.
Market of today
Trends & Key Development of Global Container Ship Industry: Challenges
NEW SHIPPING ALLIANCES: how are going do this?
42 % of the Asia-Europe
market share
24 percent of the
transpacific routes
Maersk Line’s Lars
Mikel Jensen will be
the organization’s
CEO
Staff of approximately
200 will run the alliance
from offices in London,
UK and Singapore
Between 40 and 42
percent of all transatlantic
crossings
Market of today
Latest developments of Global Container Ship Industry: Facts and Figures
Market of today
Trends & Key Development of Global Container Ship Industry: what it is
challenged by?
Pricing volatile and
demand driven, at the
same time fuel cost and
is unpredictable that
makes margins volatile.
Container shipping dependent on global trade, subject
to economic fluctuations and is extremely seasonal,
that increase uncertainty and limited ability of the
shipping companies to influence the situation.
The container
market is
struggling to
handle surplus
capacity in a
period with
low demand
growth and an
orderbook
entirely filled
by large postpanamax
vessels.
Table of Content
Introduction
History
Technical Aspects
Operations
Market of Today
Future Vision
Conclusıons
Future Vision
Gigantic Container Ship Circumnavigating Around World
Modified version of Emma Maersk
Carrying capacity 18.000 TEU
400 m. length , 59 m. beam , 14.5
m. draft , 165.000 DWT
50% less CO2 per container
compared to average of the market
Constructed by Daewoo
Shipbuilding & Marine Engineering
Source : www.worldslargestship.com
Future Vision
Malacca-max : The New Opportunity or Escapade
Max Draught 21 m. , 400.0 m. length , 60.0 m. Beam , 18.000+ TEU Capacity
Opportunities
Threats
• Operation cost per
container goes down
• The lesser ship the
lesser CO2 emissions
• Expected acceleration
in economic growth
• Competitive advantage
• Twin propulsion
requiring more
maintenance
• Port limitations
• Utilisation of capacity
• Oversupply in
container market
• Too many eggs in one
Source : Long-Term Trends in Container Shipping – the Revised Fourth Revolution (Ashar, 2012), The future of containerization: perspectives from maritime and inland freight distribution (
Notteboom, Rodrigue 2009) , www.containershipping.com , The feasibility of mega container vessels ( van Ham, 2005)
Future Vision
World Merchandise Growth Trade and GDP*
It is expected to be seen a recovery after the crisis
GDP growth of among the countries
is expected to increase in 2014 ,
consumption is forecasted to be core
factor of the growth.
The positive consequences of
expanding to container shipping
can be seen in the next years.
80% of world trade by volume is carried by sea
Source : WTO 2013 Press Release , 19 September
Future Vision
Projections of Global Trade in terms of TEU(1)
Source : Data Hub Trade Statistics 2013, Lloyds List
Future Vision
Projections of Global Trade in terms of TEU(2)
Source : Data Hub Trade Statistics 2013, Lloyd List
Future Vision
Alterations of Global Trade Pattern in the Future
Russia - Brasil – India – China – Republic
of Korea will comprise more than 50%
of the total grow GDP between 2011
and 2025. ( average %4.7 increase per
year – for developed countries %2.3).
It is forecasted that by 2050 60% of
exports will go from developed Asia
to emerging Asia. That means the
future centre of trade will be SouthSouth trade.
It is expected that Asian countries
bloc will take lead from NAFTA and
Eurozone by 2015
Acording to OECD report, by 2030
main trade corridor will not include
US and Europe but extend Asian side
Thailand and Vietnam
Source : Review of Maritime Transport 2012, UNCTAD
Future perspective
For surviving in the storming market environment, container shipping
companies are advised to keep the following route
To be proactive
and flexible
Technical
progress in
line with
infrastructure
development
Easiest for
customers to do
business with
Table of Content
Introduction
History
Technical Aspects
Operations
Market of Today
Future Vision
Conclusions
Conclusion
The container service is constantly changing to meet the needs of trade.
By using containers to mechanize the transport of ‘general cargo’, it has, in
Adam Smith’s words “opened the whole world to a market for the produce of
every sort of labor”…
Source: STOPFORD, M. (2009) Maritime Economics (3rd Edition) London and New York
“ God must have been shipowner. He placed the raw materials far from where
they were needed and covered two thirds of the earth with water.”
Erling Naess
“ Whosoever commands the sea commands the trade ; whosoever commands
the trade of the world commands the riches of the world and consequently the
world itself ”
Knight Sir Walter Raleigh, 1650
THANK YOU,
QUESTIONS?

similar documents