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Shipping
lines have been very keen to order these
giant ships, yet their hands are tied as
to where they can be deployed. Asia-Europe
and the Asia-Mediterranean trades are really
the only routes that can handle them, and
to a lesser extent the transpacific.
Given
the Mediterranean's already significant
role in the transshipment market, it could
see a substantially enhanced role with these
mega vessels, which would see the region's
ports serve as hubs for ongoing shipments
to the US east coast, where 80 per cent
of the American consumers live, and to the
emerging markets of East Coast South America
and West Africa.
This
is particularly poignant given the inability
of the Panama Canal to be able to handle
the largest ships on the ocean today.
Not
only is this good news for shipping lines
that are looking to fill their 13,000 TEU
and 18,000 TEU ships, it also means that
shippers may be able to enjoy better freight
rates on these routes due to the lower unit
costs the carriers enjoy courtesy of these
huge vessels.
Sure
the outlook for the Asia-Mediterranean trade
may look bleak, but a bad year is still
far from a foregone conclusion.s economic
growth has slowed considerably, according
to recent news reports that reveal the nation's
GDP slowed to 2.2 per cent growth in 2012,
after a poor fourth quarter performance.
Sure 2.2 per cent growth is a lot better
than what many of its neighbours are encountering,
but it had been growing in the high single
digits.
Meanwhile
the Bank of Israel reports that the macroeconomic
data coming out of Israel in the first quarter
indicates a positive turnaround. Nevertheless,
the central bank did add that at this stage
it was too early to determine whether this
improvement signaled a sustained rebound
or a ¡§temporary correction following weak
growth¡¨ MSN Money reports.
Overall
it is a very bleak picture for the Mediterranean
region on the economic front, and by virtue
of that it could be argued that it will
be a challenging year for the Asia-Mediterranean
trade.
The
one salvo, however, is the fact that the
Mediterranean does act as an important link
to other trades, and many of the ports throughout
the region already act as significant transshipment
hubs.
With
18,000 TEU ships entering the market on
top of the 13,000 TEU mega ships that are
already deployed there are some industry
insiders that see this as good news for
the Mediterranean.
Shipping
lines have been very keen to order these
giant ships, yet their hands are tied as
to where they can be deployed. Asia-Europe
and the Asia-Mediterranean trades are really
the only routes that can handle them, and
to a lesser extent the transpacific.
Given
the Mediterranean's already significant
role in the transshipment market, it could
see a substantially enhanced role with these
mega vessels, which would see the region's
ports serve as hubs for ongoing shipments
to the US east coast, where 80 per cent
of the American consumers live, and to the
emerging markets of East Coast South America
and West Africa.
This
is particularly poignant given the inability
of the Panama Canal to be able to handle
the largest ships on the ocean today.
Not
only is this good news for shipping lines
that are looking to fill their 13,000 TEU
and 18,000 TEU ships, it also means that
shippers may be able to enjoy better freight
rates on these routes due to the lower unit
costs the carriers enjoy courtesy of these
huge vessels.
Sure
the outlook for the Asia-Mediterranean trade
may look bleak, but a bad year is still
far from a foregone conclusion.
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