Institute of Chartered Shipbrokers
London & South East Branch

A useful shipping market analysis

by Richard Scott FICS, member of London & South East Branch Committee, 3 July 2021
 
The latest edition of a regular half-yearly review of the global shipping market was published a few weeks ago by Danish Ship Finance and can be accessed free of charge on this company’s website.
 
The authoritative content of the DSF’s Shipping Market Review is a valuable resource for Institute students and members alike.
 
Topics analysed in the Review include demand, supply, and market changes in the container, dry bulk, crude tanker, products tanker, LPG and shipbuilding sectors. Each section contains an analysis of recent trends and what influenced these, accompanied by some thoughts on what could happen in the next twelve to eighteen months.
According to the authors “the short-term market outlook signals that many vessel segments could enjoy another cycle of higher freight rates and increasing secondhand prices in the years to come". Numerous members of our Institute probably will be hoping that such a view will prove correct.
 
More items in the Review are: Vessels could become a catalyst for change; Will many players need to transform themselves?; Embracing a new-generation operating model; How do we create additional value from decarbonisation?; and Circularity could bring down the green premium. These aspects are discussed within a section entitled ‘Fast Forward – commercial levers for decarbonising the shipping industry’.
 
Focusing on both a short-term and long-term future, there are some novel ideas in this report about what changes may be needed or valuable in the shipping industry.  
 
(Danish Ship Finance, May 2021 and previous issues)