Demolition market close to eruption, as owners hold out for higher prices:
The combination of few available ships offered for demolition and higher prices has led to a somewhat stalemate in the market, as ship owners were holding out in search for even higher prices, which didn’t come. In its latest weekly report, GMS, the world’s leading cash buyer said that “the first signs of a pushback on the (seemingly) unending firming levels started to emerge this week as a number of owners unsuccessfully held out for the coveted USD 400/LDT (or higher) in order to finalize various sales.
Unfortunately, all efforts failed to materialize. Pakistan appears to be driving the market at some of the over-zealous numbers witnessed during the recent weeks, particularly on capesize bulkers. However, even they (Gadani recyclers) were starting to baulk at some of the increasingly wild and well-above market offerings from certain cash buyers this week”, it noted (read more)
Investors ride on new-age logistics players:
Several new-age logistics players such as Black Buck and Rivigo, Delhivery have raised close to $300 million in the past six months even as e-commerce firms have struggled to raise fresh money.Black Buck, logistics marketplace by Bengaluru-based Zinka Logistics Solutions, raised $70 million from Sands Capital and IFC in March, after raising $25 million from Tiger Global, Accel and Flipkart in December.
In March, private equity (PE) firm Carlyle pumped $100 million into logistics firm Delhivery, while PE firm Warburg Pincus invested $75 million in Delhi based logistics firm Rivigo Services in November. Logistics firms have raised a $3 billion since 2007 (read more)
Major ports’ cargo handling up 7%; petro products drive traffic:
Major ports, which are under the aegis of the Central government, have registered better growth in 2016-17 , driven primarily by handling of petroleum products.
The ports have registered a 6.79 per cent growth in 2016-17 in cargo volumes handled compared with the previous fiscal, by carrying over 647 million tonne of petroleum products, iron ore, and containers. “The growth rate this year is 6.79 per cent, while that in 2015-16 against 2014-15 was 4.32 per cent,” Rajive Kumar, Secretary, Shipping Ministry, told BusinessLine.
According to data sourced by BusinessLine, the growth was driven by petroleum products, which were up 8.16 per cent and iron ore pellets which saw a 163 per cent hike. However, there was a steep drop in handling of finished fertiliser (-17 per cent), raw fertiliser (-6.76 per cent) and coal (read more)
Container Corporation of India provides performance update:
Container Corporation of India announced that it has loaded approx. 36 million tons of traffic in 2016-17, registering a growth of 7.8% over 33.39 million tons in 2015-16.
There has been a growth of 9.2% in EXIM from 27.28 mt to 29.8 mt and growth of 1.5% in Domestic from 6.11 mt to 6.20 mt. The growth is primarily due to various initiatives taken by CONCOR viz reduction in dwell time at JNPT, time tabled trains and strategic ties with ports and private terminal operators (read more)