WHILE the prospect of a US recession looms large, some sectors are taking a more sanguine view of the situation.
International sea freight forwarders are in particular seeing a possible upside, with a potential shift in shipping pattern – from air to sea.
In an interview, Philippine International Seafreight Forwarders Association of the Philippines (PISFA) president Dexter Yu told PortCalls: “The recession may be good news for sea freight forwarders as airfreight shippers shift to sea freight… as a cost-reduction measure.”
If such happens, cargo volumes will increase, helping negate effects of the slowdown, he said.
Yu is optimistic that the US slowdown will not be long-drawn out. As it is, a $150-billion economic-stimulus package has already been approved by the US Congress and is awaiting US President George W. Bush’s signature expected this week.
PISFA is meantime negotiating with shipping lines for a possible freight rate cut to help its members better cope with the slowdown.
Earlier, economists said the looming US recession is expected to boost the Philippines’ property market and the outsourcing industry as US firms look offshore to outsource back-office jobs.
