Feeder operator Regional Container Lines (RCL) is anticipating sustained business growth in the Philippines despite the global economic crisis.
Jesus Sedano, owner’s representative of RCL Feeders Phils Inc, said growth will continue to be dominated by imports in the intra-Asia trade. Export volumes, on the other hand, are being boosted by the emergence in the market of new commodities, such as coco peat.
“Shipping is still good,” Sedano told PortCalls. “We expect sustained growth in inbound cargoes as the Philippines is not affected by the crisis.”
Catalysts for volume growth for lines operating in the Philippines, he said, are “the introduction of coco peat which has been a very big boost for export volume particularly to Asian countries like Korea as well as to Europe” and the return to the Philippines of companies that have earlier relocated to China and Vietnam.
International carriers operating in the Philippines are forecasting conservative business output anchored mainly on regional markets. The 2012 forecast, however, is significantly better than targets set for 2011.
The international container shipping industry has been hit hard by the global recession. Amid overcapacity and low demand and volume, shipping lines are struggling to restore rates.
Carriers are focusing on Asia with traditional markets Europe and the US still grappling with unsteady economic prospects.
The latest Review of Maritime Transport report of the United Nations Conference on Trade and Development also showed that Asian countries, including the Philippines, will lead expansion in global shipping services.
According to the report, developing countries will embrace new roles in shipping, increasing their participation in the global supply chain instead of solely relying on raw material exports to developed countries.
Photo from www.rclgroup.com/pdf/AnnualReports/2011_AnnualReport_ENG.pdf
