SLIDE 1 International Shipping Outlook
General Manager – Technical Services & Industry Policy, Shipping Australia Limited www.shippingaustralia.com.au
SLIDE 2
- Consolidation status of shipping lines and its
impacts
- Digitalisation and technological advancements
- Snap shot of global freight rates;
- IMO’s 2020 Low Sulphur Fuel and alternative
fuel options
- Brown Marmorated Stink Bug (BMSB)
- Biosecurity Import Levy
SLIDE 3
Economic Growth Spurs Shipping Demand
SLIDE 4
SLIDE 5
SLIDE 6
Increasing Seaborne trade of Containers
SLIDE 7
SLIDE 8
31% 36% 26%
Account for around 93% of the East–West routes
SLIDE 9
MSC &CMA/CGM Partnership Sept’19
SLIDE 10
SLIDE 11
SLIDE 12
World Box Ship Fleet Update
SLIDE 13
SLIDE 14
SLIDE 15
Established by four shipping lines Maersk Hapag Lloyd MSC Ocean Network Express
Main Goal
Help the container shipping industry move into the digital era
SLIDE 16
- Reduced paper documentation
- Eliminates unnecessary delays
- Reduced costs
- Real-time data
- Electronic Bill of Lading
BLOCKCHAIN
SLIDE 17
SLIDE 18
XSI Public Indices published by Xeneta.
SLIDE 19
World Container Index - Two-year spot freight trend
SLIDE 20
SLIDE 21 IMO’s 2020 Low Sulphur Fuel
- Availability
- Scrubbers – Open loop and closed loop
- Transition and Impacts on Engines from the use of
compliant fuel oil
- Compliance
- Bunker Surcharge
SLIDE 22 Containership demolitions
Note: 2019 year-to-date as of 26 April. Source: Drewry Maritime Research
SLIDE 23
Containership orderbook vs demolitions 2019
SLIDE 24
SLIDE 25
SLIDE 26
SLIDE 27
SLIDE 28
Brown Marmorated Stink Bug Impacts on Shipping
SLIDE 29 Brown Marmorated Stink Bug
- Inadequate Policy Consultation, Development & Notification Period
- Insufficient global publicity;
- Vehicle/Break Bulk cargo policies illogical;
- Inspection anomalies /Inadequate record keeping / Inconsistent DAWR
interpretations;
- Berth congestion and DAWR imposed inspector limitations;
- Inconsistencies between Australia and New Zealand
SLIDE 30 Recommendations for Next BMSB Season
- Policy must be to stop infested cargo being shipped to Australia –
not try to contain potentially infested cargo on a ship;
- Aus/NZ - Alignment of Prevention protocols and treatment
requirements for cargo;
- Consistent application of inspection regime and practices across all
ports of entry in Australia;
- Continuous monitoring of compliance and effectiveness of offshore
treatment facilities;
- DAWR officers must be available and able to conduct vessel
inspections 24/7 and to conduct such inspections at a sheltered anchorage; and
- Offshore requirements should be commensurate to what we
would be willingly to do here in Australia
SLIDE 31 Biosecurity Import Levy
Announced in the 2018-19 Budget Supposed to commence from 1 July 2019 and would be:
- imposed on all containerised and non-containerised cargo
imported to Australia by sea, except for military equipment
- imposed on stevedores
- set at $10.02 per incoming twenty-foot equivalent sea
container and $1 per tonne for non-containerised cargo
- ne per cent of the current cost of importing a container to
Australia. In the 2019-20 Budget, the levy starting date was revised to 1 September 2019 to accommodate the work of the industry steering committee.
SLIDE 32 Biosecurity Import Levy
Shipping Australia’s Position
- All vectors should be included and a risk-based methodology
adopted;
- where possible, existing collection mechanisms should be
employed; eg Full Import Declaration
- the point of imposition should be as close as possible to the cargo
- wners/importers who have created the demand for the import,
thereby minimising the scope for cascading as costs are passed through the supply chain;
- recommend the use of the Quarterly Business Activity Statement -
Greater involvement for the ATO vs other agencies
- Concerned about the efficiency/effectiveness of the associated
expenditure
SLIDE 33 Over the Horizon
- Speed optimisation and Speed reduction
- Autonomous Ships – Yara Birkeland due 2020
- Cyber Security
- Internet of Things – Connecting Onboard Systems to shore
- Artificial Intelligence
- Digital Twin Technology
SLIDE 34
SLIDE 35
Shipping Industry at a Glance
SLIDE 36
“Let us never forget... there is NO such thing as "Public Money…. ….there is only Taxpayers’ Money”
Late Margaret Thatcher (Prime Minister of the United Kingdom, 1979 -1990)
SLIDE 37
Thank You
