BIMCO Sees Bright Future for Shipping

On the 3rd of January, 2013, BIMCO issued “Reflections 2013,” a study of the problems currently facing shipping and in the near future. It emphasizes the regulation of the world shipping industry as well as the use of sensible and practical methods for alleviating the problems faced by the modern world of shipping. It further goes on to inform that the basis of the shipping companies, and the personnel therein, should be educated and treated fairly and in line with what is expected from large companies. Macroeconomically, BIMCO has stated that due to the escalation of GDP and world trade, 2013 seems to be a year that could see a turn in fortunes of the shipping industry. Even though this may hearten some, the fact remains that ships ordered to deal with a surplus of tonnage that never materialized could impact this scenario badly and could lead to a global slump, the likes of which some companies would be unable to recover from. To conclude this analysis, BIMCO has stated that the numbers must be considered along with these negative factors and may lead to some bleak times for the industry. Regulation is a talking point in “Reflections 2013” since BIMCO states that proper global regulation could only help the industry. Keeping regulation global would take the leverage out of local bodies and place it in the hands of those who have the entire industry in mind as opposed to the good of the region above others. The excuse that “hard times call for hard measures” needs to be rebuked as soon as the argument is raised. Green Shipping has also been mentioned in BIMCO’s report, noting the tendency of the industry to advance and demonstrate their efficiency in ecological terms. This is good news for major shipbuilders and companies investing in green technologies with the aim of reducing their carbon footprint. However, BIMCO has noted that the timely implementation of the IMO Water Ballast Convention will be a complex undertaking when faced with the fact that sufficient treatment systems could be unavailable. BIMCO President Mr. Yudhishthir Khatau includes in his address attached to “Reflections 2013” that “the worst is behind us.” The industry can be optimistic for the year coming, in spite of the looming trouble of an excess of tonnage. If growth continues, this may well be a turning point in the industry and a new hope for shipping worldwide.