HONG KONG's Orient Overseas Container Line (OOCL) has posted a 3.4 per cent year-on-year third quarter increase in volume to 1.36 million TEU, which produced a 10.9 per cent rise in quarterly revenue to US$1.6 billion.

Loadable capacity was up 5.3 per cent from July-September period year on year, but the overall load factor was 1.3 per cent lower and revenue per TEU increased 7.2 per cent.



Except for transatlantic trade, where revenue fell six per cent to $165 million, other segments posted improvements. OOCL's transpacific trade, its largest income source, recorded an 11.2 per cent quarterly increase in revenue to $540 million year on year while Asia-Europe revenues soared 25.3 per cent to $341 million while intra-Asia sales went up 8.6 per cent to $551 million.



In the third quarter, OOCL's transpacific volume was 324,947 TEU, up 3.2 per cent from 314,916 TEU in the same period last year. And its Asia-Europe volume from July to September was 242,351 TEU, up 4.7 per cent from 231,505 TEU one year ago.



On the contrary, the transatlantic volume saw a 1.3 per cent drop to 102,075 TEU in the third quarter from 103,436 TEU in the same period last year. The intra-Asia-Australasia volume was up 3.9 per cent to 691,497 TEU in the third quarter compared to 665,639 TEU in the corresponding period last year.



From January to September, the total volumes rose 5.1 per cent and revenues grew seven per cent year on year. Loadable capacity was up 8.2 per cent, while the overall load factor was 2.2 per cent lower than the same period last year. Overall revenue per TEU increased 1.7 per cent year on year.

THE growth in the world's containership fleet is slowing as the flow of orders declines, according to the Baltic and International Maritime Council (BIMCO).

Growth peaked at 9.7 per cent in 2010 and BIMCO expects 2012's forecast growth of 7.2 per cent to drop to seven per cent next year, said BIMCO according to a report from Vancouver's Ship & Bunker. Only 46 newbuildings were ordered during 2012, the lowest level on record with most order made in the last three months.



Some 550,000 TEU, or 3.4 per cent of the fleet, stands idle while year-to-date growth lags at 5.1 per cent with the addition of a little more than one million TEU being added.



Some 216,000 TEU of capacity has left the fleet through the scrapping of 118 smaller tonnage ships with an average age of 25 years.



BIMCO said that of the new vessels delivered, 44 had a capacity of over 10,000 TEU, while 37 containerships, each of less than 2,000 TEU on average.



Despite slowing growth, 2013 is estimated to be the biggest year ever for containership deliveries, which will include 48 ships with an average capacity of over 13,500 TEU.

CHINA Cosco Holdings chief said that he expects the shipping industry to see a turnaround as China's economy gains steam, reports Bloomberg.

"We're only beginning to see signs of recovery," said Cosco chairman and CEO Wei Jiafu during an interview at a shipping forum. "Premier Wen said the Chinese economy has seen a turning point in the third quarter, and it is bullish news for the shipping industry."



China Cosco's comments come as the government announced measures to protect the domestic shipping market. The State Council said it will introduce regulations that prevent domestic firms from chartering foreign-built ships on domestic waters and stop foreign shipping service firms from working in China, reports the South China Morning Post.

THE Shanghai International Shipping Institute's (SISI) index showing China sector's level of prosperity in the third quarter fell from the 100-point neutral reading to 78 after a 16-point decline in the second quarter, Xinhua reports.

Container shipping rate increased in the second quarter led by Maersk improving carrier profits. But as more large ships came into service, the supply-demand imbalance was worsened. Utilisation fell to 70 per cent, forcing carriers to cut prices again, nullifying September gains, and prompting speculation about a coming rate war.



Some indicators such as port throughput have continued lingering below prosperity level for 10 months compared to a duration of eight months in financial crisis. The survey shows that 63 per cent of companies polled are pessimistic.



The dry bulk sector was the most depressed market. Despite a rise of the Baltic Dry Index (BDI), rates have been lower than cost for a long period, and there are expectations that small and medium carriers will go bankrupt. It is estimated it will take at least two years for dry bulk to recover, said the report.



Though China's infrastructure investment scheme and the US Federal Reserve's stimulus funding are expected to boost bulk commodity trade, more than 60 per cent of the dry bulk carriers still think negatively in terms of recovery.



Pessimism reigns because of shrinking demand for ore caused by China's control of steel production capacity, and the falling price of domestic coal also reduces demand.



Port prosperity index in the third quarter was 97.42 points, falling for the first time falling below the 100-point prosperity level with some port operators' profits dropping more than 40 per cent.



SISI predicts that the business environment in the fourth quarter will remain the same recovery is unlikely to occur. Dry bulk carriers will face a more difficult situation than other sectors.

JAPAN's Finance Ministry has revealed that Japanese exports to China fell 14 per cent year on year in September amid the ongoing dispute over the control of small islands in the East China Sea, the Wall Street Journal reported.

"If this problem continues into early next year ... an economic recession would be unavoidable in Japan," said Ryutaro Kono, chief economist at BNP Paribas.



The decrease was faster than in August when exports fell 9.9 per cent year on year, the largest decline since January, the figures show.



Major Japanese brands suffered most from the spread of anti-Japanese sentiment in China. Car exports were the worst hit, decreasing 44.5 per cent year on year, while Japanese cosmetics manufacturer Shiseido suspended operations at several hundred outlets. Exports of general machinery fell 29.1 per cent.

RWANDA and Tanzania have signed an agreement to further drive cross-border trade by removing non-tariff barriers.

Tanzania was Rwanda's seventh largest trading partner in 2011, accounting for four per cent of Rwanda's international trade and 17 per cent of regional trade.



The pact was signed in the Rwandan capital of Kigali by Rwanda's Trade and Industry Minister Francois Kanimba and Tanzanian Deputy Industry and Trade Minister Gregory Teu, reported the Dar es Salaam Citizen.



Said Mr Kanimba: "I hope with these relations, Rwanda and Tanzania will cooperate to further increase small traders' cross-border business.



"It is important to eliminate all reported trade barriers and refrain from introducing new ones in order to cut the high cost of doing business and take advantage of all the benefits of regional integration," Mr Kanimba said.



Said Mr Teu: "We expect, from these bilateral relations, our citizens from the two countries to trade among themselves easily" adding that the elimination of non-tariff barriers will reduce the costs of bilateral trade.



The executive secretary of Rwanda Long Distance Truckers Association, Theodore Murenzi, said: "I am happy that the two countries have agreed to eliminate NTBs which have been affecting us, especially because we lose money and time along the corridor which impacts on our businesses."



According to the deal, both countries will share lists of sensitive commodities, so each party can apply for stay of application of the EAC Common External Tariff (EAC-Cet).



Tanzania will conduct a study on optimal number of weighbridges (non-US truck scales), roadblocks and checkpoints, which is expected to be completed in December 2012. It will also issue simplified certificates of origin for goods originating in the EAC partner states free of charge.



For Rwanda, it will urge its minister for Lands, Housing and Human Settlements Development to allocate sufficient land within 10 kilometres from the port of Dar es Salaam for further development.



The two nations will jointly develop infrastructure and simplify procedures at Rwandan border, such as the implementation of the one-stop-border-post, the establishment of trade information desks and the setup of reliable electric power, said the report.



The Tanzania's Rwandan border post handled a great volume of Rwanda's imports from the port of Dar es Salaam, which amounted to US$74 million in 2011, up 56 per cent from 2007's figures.

FINLAND's Cargotec Kalmar Rough Terrain Centre (KRTC) in Cibolo, near San Antoine, Texas, has signed an order for 355 light capability rough terrain forklift trucks (LCRTF) with the Pentagon.

Total value of the order is EUR20 million (US$26.1 million) and it has been booked into the company's third quarter 2012 order intake, said a company statement.



The order is part of the frame agreement signed between KRTC and the US Department of Defence in 2011. It follows deals signed in 2011 and 2012, taking the total number of units close to 1,300, a company statement said.



The LCRTF is a purpose-built cargo handling gear for loading and unloading containers, railcars and tactical vehicles. The LCRTF has sufficient capacity to function in military operational areas where high flotation and traction are required.

CMA CGM founder and group chairman Jacques Saade has received the Containerisation International Lifetime Achievement Award at a grand luncheon in London.

The industry veteran who has been involved in running containership liner services since 1978, was recognised for his achievements, commitment and endeavour in both running his company and in promoting the sector.



In the view of the editorial team, Mr Saade was the worthy winner of this award for his "determination and zeal in leading from the top" and his resilience in navigating the industry's various challenges.



The team also acknowledged Mr Saade's vision in being one of the first lines to commit to super-postpanamax tonnage and to use innovative technologies as a means of helping reduce emissions, thereby reducing his company's impact on the environment.



Mr Saade has built his original Compagnie Maritime d'Affretement [CMA] shipping entity from a one-ship intra-regional operator into global heavyweight, now ranked as the third-largest container shipping company in the world.



According to Lloyd's List Intelligence, CMA CGM controls a fleet of 443 vessels, amassing just shy of 1.4 million TEU. It lifts over 10 million TEU of cargo a year.

THE European Commission (EC) has issued a "statement of objections" to UPS and TNT Express as a result of their probe into the planned takeover of TNT Express by UPS.

The "statement of objections" lists the competition authority's interim conclusions arising from its investigation.



A joint statement from the two companies confirmed they had received the document, but did not divulge its contents another than to say it "addresses the competitive effects of the intended merger on the international express small package market in Europe," reported the UK's Transport Intelligence.



The statement of objections has been described a "normal step in a second phase merger procedure" and that it is a "confidential document that sets out a provisional position of the EC and does not prejudge the final outcome of the case".



The report noted that rumours have been circulating that the EC's concerns focus on services to and between 'peripheral' countries in Europe, such as those in southern Europe.



"The implication is that UPS-TNT Express would be forced to sell operations around air express in peripheral markets. This may prove difficult, as they are organic to either the air or road networks of either of the two companies. It is assumed that some part of these operations may be sold to FedEx, however if this is possible, some smaller local companies might be just as well positioned in these markets," said the Ti report.



UPS and TNT Express added in the release that they expected to respond to the European Commission "within a couple of weeks" and "complete the transaction in early 2013."

HONG KONG International Airport has increased its cargo volume in September by 6.8 per cent year on year to 347,000 tonnes with overall traffic moments up 4.1 per cent to 28,850.

Passenger traffic was up less by 1.3 per cent to 4.4 million. The traffic growth was generated by Hong Kong resident travel, which was up 11 per cent year on year. It also had encouraging figures for traffic to the mainland and Taiwan.



The growth in cargo was primarily due to seven per cent year-on-year growth in exports. During the month, cargo throughput to and from North America and southeast Asia outperformed other key regions, said the airport authority.



Airport Authority CEO Stanley Hui said overall passenger experienced its strongest growth in first three quarters of the year up 5.1 per cent to 42.2 million passenger trips because of Golden Week on October 1.

THE International Air Cargo Association (TIACA), an industry association and the UN's International Civil Aviation Organisation (ICAO) have agreed to strengthen cooperation within the air cargo transportation industry.

TIACA says it has been building a closer relationship with ICAO over the past two years and is already on a list of international organisations invited to attend ICAO meetings.



TIACA has provided input into a number of ICAO deliberations, including the organisation's Working Group on Air Cargo Security and its co-sponsorship of joint working papers on air cargo security for the 2012 High Level Conference on Aviation Security. It supported the papers "Key Principles on Air Cargo and Mail Security" and "International Capacity Building Strategy for Air Cargo Security".



TIACA has also presented working papers to the ICAO Assembly, 12th Session of Facilitation Division, and the 5th Worldwide Air Transport Conference on the issues of liberalisation, market access, air cargo security and development implications.



The scope of the enhanced cooperation between the TIACA and ICAO covers the areas of air cargo and mail security and facilitation; environmental practices; market access; capacity building; and air cargo safety. In support of the cooperation agreement, TIACA will intensify its participation in relevant ICAO meetings.



TIACA said it "hopes to gain further benefit and opportunities for cooperation from ICAO's institutional relationships with the United Nations and its specialised agencies, regional civil aviation bodies and regional civil aviation and economic integration organisations, as well as industry stakeholders including Airports Council International (ACI), the Civil Air Navigation Services Organisation (CANSO) and the International Air Transport Association (IATA)".