Inside - Nautilus International
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March 2011 | nautilusint.org | telegraph | 15<br />
INTERNATIONAL<br />
French port<br />
strikes are<br />
suspended<br />
French dock workers last month<br />
Aagreed to suspend a series of<br />
stoppages that have severely affected<br />
shipping movements in many of the<br />
country’s key ports.<br />
The powerful FNPD-CGT union said<br />
it had decided to halt the programme<br />
of strikes to allow an intensive round<br />
of negotiations with employers in a<br />
bid to ensure that an agreement<br />
reached with the government is<br />
observed by all parties.<br />
The protests have been staged in a<br />
dispute over early retirement<br />
provisions for dock workers, with the<br />
union arguing that its members<br />
should have special rights because of<br />
the arduous nature of their<br />
employment.<br />
The action has disrupted the flow<br />
of containers and bulk cargoes in<br />
many ports, and has particularly<br />
affected the loading and discharge of<br />
oil products at the Fos-Lavera oil<br />
terminal.<br />
The union warned that the<br />
weekend stoppages and work to rule<br />
— which began in January — will<br />
resume if no agreement could be<br />
reached in the two days of talks.<br />
The Dutch shipping company Euro Marine Carrier<br />
D(EMC) is operating the first of two pioneering new<br />
‘green’ car carriers for the Japanese firm Nissan.<br />
EMC last month began services with the 22,500gt<br />
City of St Petersburg, pictured above, which features a<br />
semi-spherical ‘bubble bow’ that is capable of cutting<br />
wind resistance by 50% compared with conventional<br />
vessels.<br />
Based on calculations for average conditions in the<br />
North Atlantic, the new design is said to be able to save<br />
up to 800 tonnes of fuel a year — equivalent to a<br />
saving of some 2,500 tons of CO2 emissions.<br />
EMC — a Dutch company owned by Nissan Motor<br />
Car Carrier — is using the Panama-flagged City of St<br />
Petersburg to transport Nissan vehicles to Northern<br />
Europe and Russia.<br />
Of 140m loa, City of St Petersburg is the first of two<br />
sisterships built by the Kyokuyo Shipyard Corporation.<br />
The vessels have a service speed of 16.9 knots and a<br />
capacity for up to 2,000 cars. Picture: Nissan<br />
Fresh doubts over<br />
SeaFrance future<br />
Ferry firm struggling to find cash injection to avoid threat of liquidation<br />
by Jeff Apter<br />
PFresh questions over the<br />
future of the cross-channel<br />
ferry operator<br />
SeaFrance were raised last month<br />
after the board admitted that it<br />
still had not received an ‘acceptable,<br />
firm and committed’ offer<br />
to get the company back on its<br />
feet by the end of April.<br />
SeaFrance — which is 100%<br />
owned by the national rail company<br />
SNCF — has been under the<br />
control of the Paris commercial<br />
court since 16 June last year, a<br />
move that protects it from a hostile<br />
takeover and one that is<br />
backed by the unions.<br />
The operator’s ‘recovery plan’<br />
AShipowners managed to minimise the<br />
threat of a squeeze on freight rates last<br />
year by averting a glut of newbuilding<br />
deliveries.<br />
A new report from the London-based shipbroker<br />
Braemar Seascope reveals that the gap between<br />
anticipated deliveries and what was actually<br />
delivered last year totalled more than 35% in some<br />
sectors.<br />
Dry bulk deliveries were scheduled to total 1,400<br />
ships of 113m dwt last year, the report notes, but in<br />
the event 950 ships of 78m dwt were delivered.<br />
Crude oil and oil products tanker deliveries were<br />
due to total nearly 400 ships of 51m dwt last year,<br />
Dutch operator runs ‘green’ car carrier<br />
— which has included 725 job<br />
losses and cutting the fleet to just<br />
four ships — came into full effect<br />
in January.<br />
But the period of court protection<br />
is due to end on 28 April and<br />
the company is seeking an urgent<br />
injection of fresh capital. Under a<br />
European Union agreement,<br />
SeaFrance is meant to pay back<br />
€50m lent to it by SNCF last year,<br />
but French newspapers reported<br />
the company’s deputy director<br />
Vincent Launay stating that it is<br />
presently not able to make the<br />
repayment.<br />
As a result, the company will<br />
seek approval from Brussels to<br />
postpone the 18 February payment<br />
deadline.<br />
However, refusal by the European<br />
Commission would leave<br />
the company facing liquidation.<br />
Any other measures to recapitalise<br />
SeaFrance will also need to<br />
have the approval of the Commission.<br />
A provisional solution may be<br />
found in talks between the SNCF<br />
and the European Commission.<br />
Mr Launay said the ‘continuation<br />
of SeaFrance’s activity has always<br />
been its priority’ and it is continuing<br />
its quest for an injection of<br />
fresh capital, possibly from one<br />
or more new investors.<br />
However, although Brittany<br />
Ferries, LD Lines, Veolia Transport<br />
and DFDS were all reported to<br />
have shown interest in SeaFrance,<br />
the company said it had been<br />
unable to fund a buyer.<br />
Meanwhile, SeaFrance confirmed<br />
that last year it lost market<br />
shares in a depressed market —<br />
which it blamed on a weak pound<br />
and a reduced number of sailings.<br />
In 2010 SeaFrance lost 12.3% of<br />
its year-on-year freight volumes,<br />
while the number of coaches carried<br />
fell 23% and passenger loads<br />
were down 6% to 2.94m.<br />
The situation improved in January<br />
with a 9% increase in freight<br />
volumes and an 18% leap in<br />
tourist cars — even though the<br />
company had only two ferries<br />
operating with two in dry-dock<br />
for seasonal repairs, one in Falmouth<br />
and the other in Dunkirk.<br />
Owners ease rates squeeze<br />
but just 290 ships of 37m dwt were delivered. The<br />
biggest shortfall among crude tankers was in the<br />
Suezmax segment, where 36 out of an expected<br />
57 ships were delivered — a shortfall of 37%.<br />
Braemar Seascope said deliveries in the<br />
container shipping sector were 27% less than<br />
expected — with 290 ships of 1.35m TEU delivered<br />
against 350 ships of 1.7m TEU planned.<br />
The difference between the orderbook schedule<br />
and actuality in 2010 was a function of technical<br />
underperformance at certain shipyards and the fallout<br />
of the credit crunch, the brokers pointed out.<br />
Some orders were cancelled while, in many cases,<br />
shipowners renegotiated delivery dates.<br />
Braemar Seascope points out that these raw<br />
supply figures do not account for slow steaming,<br />
lay-up and other forms of supply management<br />
which continue to support freight rates in the<br />
boxship sector.<br />
Research manager Mark Williams added: ‘It’s<br />
quite likely that the freight market outlook will<br />
encourage further delays in deliveries. It will not<br />
surprise us if as many as a quarter of this year’s<br />
anticipated deliveries don’t turn up by December<br />
this year. The delays may prolong the downturn, but<br />
equally they could allow demand to catch up with<br />
supply during the recovery from the 2009<br />
recession.’<br />
shortreports<br />
FINE PROTEST: an environmental group has<br />
protested after the owners of a Lithuanian-flagged<br />
cargoship accused of pollution off the French coast used<br />
a section of the Montego Bay Convention to pay a<br />
€23.000 fine in Lithuania instead of the €700,000<br />
penalty imposed by the Brest maritime court. The<br />
Surfrider Foundation said the Lithuanian fine barely<br />
totalled the cost of using port waste reception facilities.<br />
ROYAL ORDER: the US operator Royal Caribbean<br />
Cruises has announced plans for a 158,000gt ‘new<br />
generation’ vessel capable of carrying up to 4,100<br />
passengers. The ship is due to be delivered in late 2014<br />
from the Meyer Werft yard in Germany, and Royal<br />
Caribbean has an option for a second ship to be<br />
completed in the first half of 2015.<br />
ITALIAN STOPPAGES: unions representing<br />
seafarers serving with the Italian ferry firm Tirrenia di<br />
Navigazione announced a series of fresh stoppages last<br />
month in a long-running dispute over the privatisation<br />
of the company. They have warned that jobs are at risk<br />
because of the government’s failure to handle the selloff<br />
process properly.<br />
SCRAPPING DOWN: the number of ships<br />
broken up last year fell 5% to 952 — down from a<br />
record 1,006 in 2009, according to the French<br />
ecological organisation Robin des Bois (Robin Hood).<br />
Some 44% of the ships were demolished in India, 14%<br />
in Turkey, 13% in China, 11% in Bangladesh and 10% in<br />
Pakistan.<br />
SIZE MATTERS: only a handful of operators will<br />
be interested in running 18,000TEU-plus<br />
containerships, a German port manager says. Stefan<br />
Behn, of Hamburg’s HHLA terminal, said ships of such<br />
capacity will make sense only when fully loaded, used<br />
constantly and able to access ports with suitable<br />
facilities.<br />
GALILEO COSTS: Europe’s Galileo satellite<br />
navigation system is now expected to cost nearly €2bn<br />
more than expected, the European Commission has<br />
revealed. The system — which is due to be 100%<br />
operational by 2020 — will now cost an estimated<br />
€5.3bn.<br />
WIND SITES: the French government has given<br />
the go-ahead for a series of offshore windfarms in five<br />
defined zones in the western Channel and Atlantic. The<br />
sites involve the Dieppe-Le Tréport area, Fécamp,<br />
Courseulles-sur-Mer, Saint Brieuc and Saint Nazaire.<br />
CALAIS FALL: freight traffic through the French<br />
port of Calais fell by 7.4% last year, with the number of<br />
lorries handled down by 10.36%. But passenger<br />
volumes increased by 0.3% to 10.23m, and the number<br />
of tourist cars using the port rose 2.27% to 1.94m.<br />
SHANGHAI LEAD: China’s continuing strong<br />
economic growth helped Shanghai overtake Singapore<br />
as the world’s busiest container port in 2010, handling<br />
29m TEU against the island nation’s 26.4m TEU.<br />
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