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Thursday, 14 March 13
SHIPPERS AND CARRIERS NEED GREATER COMMUNICATION AND MUTUAL UNDERSTANDING
Press Release – Shippers and shipping lines both need to raise their game if global container supply chains are not to be habitually subject to wildly fluctuating service levels. This was a key take-away from Day 1 of the TOC Container Supply Chain Asia conference being held in Hong Kong, on 12-14 March.
Addressing the conference session ‘Carriers Close Up’, Mark Holloway, Head of Supply Chain Asia for global beverage group Diageo, explained that his company’s supply chain is focused on “cost, service and quality”, in other words a natural continuation of Diageo’s corporate culture and approach to its end customers who consume the company’s products.
Understanding customer requirements is key to meeting their expectations, he explained. However, he added that in his experience container shipping lines have little or no engagement with their customers either to discuss issues that arise or plans to improve service levels. He argued that the focus was almost exclusively on price, which in times of highly volatile rate movements often leads to unreliable lead times impacting service levels for end customers and unreliable updates on where particular shipments are at any moment along the logistics chain.
These factors have a negative impact on business often resulting in increased inventory and service risks. However, Mr Holloway emphasised that the current poor state of relationships between shippers and carriers was as much the result of shippers allowing that to happen as also being the fault of the carriers. His principal message was that both partners need to improve their communications with each other in order to achieve more collaborative supply chain management.
“It is now the responsibility of shippers to elevate the quality of the conversations we have with carriers and focus on cost, service and quality, and therefore allow us to have an on-going relationship with our supply chain colleagues just I have an on-going relationship with the customers I serve,” he concluded.
From a carrier perspective, Stanley Smulders, Senior Vice-President Asia - Europe & West Africa Trade Management, for MOL Liner, accepted that various strategies recently adopted by carriers do impact supply chains. However, he also pointed out that the response of many carriers has simply been as a result of the lack of sustainable financial returns. The creation of wider alliances, for example, is an obvious response to the need to phase in larger vessels economically in order to ensure that the ships are fully utilised. But this will likely result in fewer sailings, which has a direct effect on supply chains.
Shipping lines also need to reduce costs, through measures such as slow steaming, he continued. He asked rhetorically whether this is likely to change any time soon, but the answer was “very unlikely” as long as costs such as bunker fuel stay where they are.
Mega-vessels, mega-ports
The impact of mega-vessels and mega ports on the supply chain was also a principal theme of the opening day. In a keynote speech, Mohammed Al Muallem, Senior Vice-President & Managing Director UAE Region, for DP World, noted that ports are integral to supply chains. Moreover, containerisation has expanded the hinterland of ports, leading to the development of regional, local & extended gateways.
Consequently ports have evolved as enablers adding “substantial value” to the freight chain, specifically in terms of facilitating multimodal infrastructure, e-information exchange and integration with hinterlands. This is encouraging a move towards ‘port-centric logistics’ that provide connectivity between supply chain enablers.
Mr Muallem continued by saying that ship size has doubled over the past decade and the market will continue to see increasing numbers of ‘mega-ships’ coming onto the market. With these increasingly large vessels, hub & spoke concepts for ports are likely to be dominant and will enable shipping lines to pursue the economies of scale they are seeking.
This has significant implications for ports. Larger ships mean deeper drafts, wider channels and longer berths. Operational efficiency is also of key importance as the mega-vessels will need to load/discharge greater numbers of containers with each vessels call.
TOC CSC Asia continues until 14 March at the Hong Kong Convention and Exhibition Centre.
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Tuesday, 19 March 13
SHIP PRICES COULD BE CLOSING IN TO REACH THEIR BOTTOM - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING NEWS
One of the latest developments in shipping asset prices has been the reluctance from shipyards to further reduce their price expectations to higher ...
Sunday, 17 March 13
A WEAK WEEK FOR SUB-BIT INDONESIA COAL SWAPS
COALspot.com - Sub-Bit Indonesia coal swaps (FOB ) for average Q2’ 2013 delivery has lost 2.11 percent and CFR South China coal shipment ...
Sunday, 17 March 13
COAL FREIGHT RATES STEADY ON HIGHER DEMAND - CAPT. REDDY
COALspot.com - This freight market continued to remain firm in all segments.
The BDI was up by 5.81 pct closing at 892 points. Cape index was up ...
Friday, 15 March 13
CHEAP SHIP VALUATIONS DON'T NECESSARILY MEAN ATTRACTIVE SAYS VESSELS VALUE - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING NEWS
With ship prices plunging by double-digits in the past few years, many ship owners are pondering their next moves in a market often described as att ...
Thursday, 14 March 13
SUPRAMAX : INDO - INDIA TRIP RATE IS AROUND $10,000; SOUTH CHINA $9500 - FEARNRESEARCH
Handy
Indian market is still quiet in respect of export of iron ore. WC India market has improved with a few stems out of the MEG, WC India opening ...
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- Bank of Tokyo Mitsubishi UFJ Ltd
- Interocean Group of Companies - India
- Bharathi Cement Corporation - India
- OPG Power Generation Pvt Ltd - India
- PNOC Exploration Corporation - Philippines
- Maheswari Brothers Coal Limited - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- New Zealand Coal & Carbon
- Neyveli Lignite Corporation Ltd, - India
- MS Steel International - UAE
- Cigading International Bulk Terminal - Indonesia
- Global Green Power PLC Corporation, Philippines
- GAC Shipping (India) Pvt Ltd
- Leighton Contractors Pty Ltd - Australia
- Vijayanagar Sugar Pvt Ltd - India
- IEA Clean Coal Centre - UK
- Sinarmas Energy and Mining - Indonesia
- Mintek Dendrill Indonesia
- ASAPP Information Group - India
- Marubeni Corporation - India
- IHS Mccloskey Coal Group - USA
- White Energy Company Limited
- Directorate Of Revenue Intelligence - India
- Tamil Nadu electricity Board
- PTC India Limited - India
- VISA Power Limited - India
- Eastern Coal Council - USA
- Savvy Resources Ltd - HongKong
- Singapore Mercantile Exchange
- Krishnapatnam Port Company Ltd. - India
- San Jose City I Power Corp, Philippines
- Petrochimia International Co. Ltd.- Taiwan
- Heidelberg Cement - Germany
- Medco Energi Mining Internasional
- Sarangani Energy Corporation, Philippines
- Simpson Spence & Young - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- Cement Manufacturers Association - India
- Commonwealth Bank - Australia
- Kohat Cement Company Ltd. - Pakistan
- Australian Commodity Traders Exchange
- CNBM International Corporation - China
- Sakthi Sugars Limited - India
- Aditya Birla Group - India
- Merrill Lynch Commodities Europe
- Salva Resources Pvt Ltd - India
- Gujarat Mineral Development Corp Ltd - India
- Energy Development Corp, Philippines
- Parry Sugars Refinery, India
- Vizag Seaport Private Limited - India
- GN Power Mariveles Coal Plant, Philippines
- Rio Tinto Coal - Australia
- AsiaOL BioFuels Corp., Philippines
- Malabar Cements Ltd - India
- Ministry of Transport, Egypt
- Pipit Mutiara Jaya. PT, Indonesia
- Vedanta Resources Plc - India
- Kartika Selabumi Mining - Indonesia
- Meenaskhi Energy Private Limited - India
- Africa Commodities Group - South Africa
- Edison Trading Spa - Italy
- Posco Energy - South Korea
- Manunggal Multi Energi - Indonesia
- Riau Bara Harum - Indonesia
- Jaiprakash Power Ventures ltd
- Anglo American - United Kingdom
- Karaikal Port Pvt Ltd - India
- Thai Mozambique Logistica
- Bukit Asam (Persero) Tbk - Indonesia
- Intertek Mineral Services - Indonesia
- Gujarat Electricity Regulatory Commission - India
- Dalmia Cement Bharat India
- Eastern Energy - Thailand
- Trasteel International SA, Italy
- Antam Resourcindo - Indonesia
- Sojitz Corporation - Japan
- The University of Queensland
- Alfred C Toepfer International GmbH - Germany
- Kapuas Tunggal Persada - Indonesia
- Central Java Power - Indonesia
- Pendopo Energi Batubara - Indonesia
- Bhoruka Overseas - Indonesia
- Madhucon Powers Ltd - India
- PetroVietnam Power Coal Import and Supply Company
- SMG Consultants - Indonesia
- Energy Link Ltd, New Zealand
- Jorong Barutama Greston.PT - Indonesia
- GVK Power & Infra Limited - India
- Renaissance Capital - South Africa
- Samtan Co., Ltd - South Korea
- Wood Mackenzie - Singapore
- Global Business Power Corporation, Philippines
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Deloitte Consulting - India
- Timah Investasi Mineral - Indoneisa
- Mercator Lines Limited - India
- PowerSource Philippines DevCo
- Karbindo Abesyapradhi - Indoneisa
- Tata Chemicals Ltd - India
- Economic Council, Georgia
- Coastal Gujarat Power Limited - India
- Borneo Indobara - Indonesia
- GMR Energy Limited - India
- Binh Thuan Hamico - Vietnam
- Offshore Bulk Terminal Pte Ltd, Singapore
- Indika Energy - Indonesia
- Thiess Contractors Indonesia
- Coal and Oil Company - UAE
- Indonesian Coal Mining Association
- Orica Australia Pty. Ltd.
- SMC Global Power, Philippines
- Latin American Coal - Colombia
- Rashtriya Ispat Nigam Limited - India
- Ministry of Finance - Indonesia
- Chettinad Cement Corporation Ltd - India
- Minerals Council of Australia
- South Luzon Thermal Energy Corporation
- Jindal Steel & Power Ltd - India
- Meralco Power Generation, Philippines
- Carbofer General Trading SA - India
- Holcim Trading Pte Ltd - Singapore
- Bukit Baiduri Energy - Indonesia
- Parliament of New Zealand
- ICICI Bank Limited - India
- Chamber of Mines of South Africa
- Kideco Jaya Agung - Indonesia
- Wilmar Investment Holdings
- Standard Chartered Bank - UAE
- Central Electricity Authority - India
- London Commodity Brokers - England
- Ceylon Electricity Board - Sri Lanka
- Gujarat Sidhee Cement - India
- Bangladesh Power Developement Board
- Siam City Cement - Thailand
- Ind-Barath Power Infra Limited - India
- Xindia Steels Limited - India
- TeaM Sual Corporation - Philippines
- Port Waratah Coal Services - Australia
- Kumho Petrochemical, South Korea
- Toyota Tsusho Corporation, Japan
- Sindya Power Generating Company Private Ltd
- Bukit Makmur.PT - Indonesia
- TNB Fuel Sdn Bhd - Malaysia
- Banpu Public Company Limited - Thailand
- The State Trading Corporation of India Ltd
- Bhushan Steel Limited - India
- SN Aboitiz Power Inc, Philippines
- Electricity Generating Authority of Thailand
- Attock Cement Pakistan Limited
- Semirara Mining and Power Corporation, Philippines
- Bhatia International Limited - India
- Indian Energy Exchange, India
- Mercuria Energy - Indonesia
- Electricity Authority, New Zealand
- Global Coal Blending Company Limited - Australia
- Mjunction Services Limited - India
- Agrawal Coal Company - India
- CIMB Investment Bank - Malaysia
- India Bulls Power Limited - India
- Romanian Commodities Exchange
- Asmin Koalindo Tuhup - Indonesia
- Lanco Infratech Ltd - India
- Aboitiz Power Corporation - Philippines
- Siam City Cement PLC, Thailand
- Independent Power Producers Association of India
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Videocon Industries ltd - India
- Barasentosa Lestari - Indonesia
- The Treasury - Australian Government
- Petron Corporation, Philippines
- Grasim Industreis Ltd - India
- European Bulk Services B.V. - Netherlands
- Indian Oil Corporation Limited
- Sical Logistics Limited - India
- Kaltim Prima Coal - Indonesia
- Formosa Plastics Group - Taiwan
- Sree Jayajothi Cements Limited - India
- Metalloyd Limited - United Kingdom
- Larsen & Toubro Limited - India
- Uttam Galva Steels Limited - India
- Bahari Cakrawala Sebuku - Indonesia
- Power Finance Corporation Ltd., India
- Bulk Trading Sa - Switzerland
- Baramulti Group, Indonesia
- Georgia Ports Authority, United States
- Miang Besar Coal Terminal - Indonesia
- Ambuja Cements Ltd - India
- Ministry of Mines - Canada
- Makarim & Taira - Indonesia
- McConnell Dowell - Australia
- Oldendorff Carriers - Singapore
- Straits Asia Resources Limited - Singapore
- International Coal Ventures Pvt Ltd - India
- Indogreen Group - Indonesia
- Therma Luzon, Inc, Philippines
- Kalimantan Lumbung Energi - Indonesia
- Bayan Resources Tbk. - Indonesia
- Goldman Sachs - Singapore
- LBH Netherlands Bv - Netherlands
- Iligan Light & Power Inc, Philippines
- Orica Mining Services - Indonesia
- Star Paper Mills Limited - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Maharashtra Electricity Regulatory Commission - India
- Billiton Holdings Pty Ltd - Australia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Australian Coal Association
- Altura Mining Limited, Indonesia
- Semirara Mining Corp, Philippines
- Kepco SPC Power Corporation, Philippines
- Essar Steel Hazira Ltd - India
- Indo Tambangraya Megah - Indonesia
- Globalindo Alam Lestari - Indonesia
- Kobexindo Tractors - Indoneisa
- Price Waterhouse Coopers - Russia
- Coalindo Energy - Indonesia
- Planning Commission, India
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