INTERNATIONAL seafreight forwarders operating in the Philippines see the Asian market as a key source of growth this year.

Philippine International Seafreight Forwarders Association (PISFA) president Nelson Mendoza told PortCalls seafreight volume is picking up but limited to the region, in particular China, Singapore, Vietnam and Taiwan. And just like last year, imports mainly from China are expected to supply much of the business.

“Exports within the region are also strong as most of us forwarders are experiencing cargo rollovers compared to last year when almost everything was stagnant,” Mendoza added.

Still, the exact recovery period remains a big question mark.

The once dominant markets of United States and Europe, Mendoza said, continue to suffer from low import and export demand due to prolonged effects of the global economic crisis.

And despite the bullish regional market, concerns have been raised on rates that have risen so fast but that are not in proportion to actual cargo volume growth.

Last year, seafreight forwarders finished the year stronger than forecast, with better business conditions experienced in the second half.

PISFA members handled 5-10% less volume last year compared to earlier estimates of a deficit of 15%.

You May Also Like

World Bank study highlights policy barriers to PH shipping industry

Prohibitive policies that hinder open competition in the Philippines might be the reason for the weak state of the domestic shipping industry, according to…

CMA CGM, Hapag-Lloyd announce new rate revisions

CMA CGM announced on March 1 revenue restorations on the Asia-Europe market, both westbound and eastbound. The French container line said that a second…

Maersk targets zero-carbon shipping by 2050

Integrated container logistics company A.P. Moller-Maersk has announced a goal to reach carbon neutrality by 2050, which it says can be achieved if carbon-neutral…

Harbor Star posts 74% profit slip in first 9 months

Marine services provider Harbor Star Shipping Services, Inc. reported a 74% decline in net income for the first nine months of 2015 to P27.173…