Fleet Transport June 2020

MARITIME III | 23
The post COVID-19 Maritime world
At the time of writing this worldwide pandemic is far
from being over, but already some significant changes
in the way in which the maritime sector operates are
becoming apparent. Some of these arise from changes in the
way in which people and industries have begun to work in order
to keep some sense of normality in a unique global event. Many
others come from the unique “opportunity” that has required
people, businesses and Governments to, almost literally, stop
and think things out again.
One development that has been brought into sharp focus by
the pandemic has been the use of e-documentation. There is an
imperative to avoid, where possible, the physical handling of any
form of paperwork. Shipping lines and Forwarders have come
together in groups like the Digital Container Shipping Association
to promote the use of technologies such as blockchain to develop
valid documentation that will ease the flow of cargo through ports
on a global basis.
To look at different sectors from an Irish perspective:
Irish export and import performance
Four sectors of the Irish export economy, Financial Services,
ICT, Food and Drink, along with Pharma and Medical Devices,
while suffering some disruption and reduction in business as their
customers have slowed their activities, have, in the main, kept active
throughout the crisis. On the import side, food and drink volumes
have remained strong as has the requirement for medical equipment,
PPE’s and the like. At the time of writing, as markets in Europe and
further afield begin to open-up, volumes shipping through Irish
ports are beginning to recover from the March/April slump.
Short Sea Shipping services
• Ferries: Due, in part, to the short-term State assistance to
ferry routes out of Rosslare and the Cherbourg route out of
Dublin, the shipping lines have been able to maintain full
schedules. Another significant factor is that, in the main, ferry
services operating through Irish Ports are very freight traffic
focussed and passenger traffic is limited and very seasonal.
Thus, routes, other than those to Roscoff have continued to be
served with the planned schedules. This is unlike the case on
several English Channel, North Sea and Scandinavian routes
which, following the collapse of passenger traffic, have closed
either temporarily or permanently. In the course of a recent IEA
webinar, Rosslare Europort CEO, Glenn Carr made the point
that when a service closes, even if it supposed to be temporarily,
it is extremely difficult to get such a service up and running
again. One change, that was already happening but which the
COVID-19 outbreak hastened, has been the switch by hauliers
to operations using unaccompanied trailers on ferries. Doing
this has enabled them to sidestep many of the difficulties that
they may otherwise have faced at ports and border crossing
points, but it has also put the Shipping Lines under pressure
in maintaining their loading and discharging time schedules.
While Brexit and the potential disruption arising from it, has,
up to now, been the main reason for shippers and hauliers
to consider the use of direct shipping services from Irish to
Brittania leaves Dublin
continental ports, the potential COVID-19 disruptions have
made shippers and customers more likely to ship now on the
direct services rather than use the British Landbridge.
• Lo-Lo containerships: Volumes, though down, have been
enough to enable lines to keep services and schedules running
normally, and there have been no health-related issues at ports
or on-board ship. Unlike the ferries however, the container
lines have an operational model in which they not only supply
the vessel on which the cargo is shipped but also provide the
container in which it is packed. Due to the closures of premises
throughout Europe it has been more challenging to keep the
container equipment in the right balance and lines have had
to move many containers empty.
• Deep Sea Shipping Services: In order to maintain the rates paid
by shippers the major Container Lines started a programme of
“blanking” sailings early in the New Year. This sought to limit
capacity to a level that kept the vessels operating with minimal
losses, but it disrupts the supply chains of many shippers.
There have also been major issues concerning the availability
of appropriate containers due mainly to equipment being tied
up at ports awaiting discharge.
• Cruise Ship operations: These came to a complete halt at the
start of the pandemic and are unlikely to resume until 2021 at
the earliest. This will have a severe impact on the lines involved
and on the partners on shore. Adding to the industry problems
is the increasing resistance from many ports and cities to the
servicing of some of the massive vessels and the strain that these
put on the local city infrastructure. There are also pollution
issues with these vessels.
In the next issue of “Fleet Maritime” we will develop the post-
Coronavirus scenario further.
MSC-Ambra
FLEETMARITIME | Summer 2020