2017 forecast of shipping companies

2017 FORECAST OF SHIPPING COMPANIES

Students:Anaid Chica

Annelys Flores GRADE: 10

Lecturer: Max Galarza

Drewry• In particular, the oversupply situation, which has dogged this sector

for many years, is expected to level out in the medium term,” comments  Susan  Oatway,  lead  analyst  for  multipurpose shipping at Drewry.

• The oil  price will  be more expensive  these year which  increases  the freight cost.

BIMCO • Analysts with BIMCO forecast  lower growth potential  for  shipping  in coming  years,  thanks  to  continued  overcapacity  and  to  national subsidies for shipbuilding activity. • Government  support  for  any  industry  –  including  shipping- which  is feeling the heat of global competition might seem  like a good thing. But direct subsidies from governments in fact have a negative impact on  the  global  shipping  industry  as  they  affect  free  trade  and undermine the level playing field for businesses. 

CONCLUSION • As many  forecast  said  shipping  companies will  have  some obstacles like  the  increase  of  oil  which  could make  people  to  stop  using  this form of transport, but also there are higher expectations that shipping is going to recover this year because some companies might leave the market and there are some that have had left already. 

BIBLIOGRAPHY• The maritime executive• The New York Times• Drewry