The Philippine tanker industry continues to show healthy volume and revenue growth, thanks to high demand for oil products.

“The local tanker industry has no problem as most of us have been chartered long-term by the different oil players; no (charter) cancellation has also been recorded so far,” Philippine Petroleum Sea Transport Association (Philpesta) executive director Ernesto Paguyo told PortCalls.

“The volume of oil is rising modestly due to rising local demand despite the higher price in the world market,” he explained.

“In terms of fleet, there has been no significant expansion or additional bottoms aside from the time-to-time replacement of older vessels.”

Paguyo added rates have also remained steady.

Tanker operators carrying black oil have completed their refleeting, making almost all players compliant with the government’s double-hull requirement.

On the other hand, operators of tankers carrying white oil (derivatives of crude oil which have been extremely highly refined to give a colorless and odorless product) are still in the process of converting or replacing their vessels to double-hull, with the policy set to be imposed at the start of next year.

The Big Boat Of Oil Tanker by cbenjasuwan
Free image courtesy of FreeDigitalPhotos.net

You May Also Like

New name for JV of Japan’s Big 3; massive job cuts at Hapag-Lloyd

The three major box shipping companies of Japan have announced the trade name of their new merged entity and disclosed plans to launch the…

East-West freight rates retreated further in fourth quarter

Ocean contract freight rates on the major East-West trade routes saw another reduction in the last quarter of 2015, according to Drewry’s Benchmarking Club,…

Manifesto zeroes in on transfer of overstaying containers

Manila’s international container ports are now transferring Customs-cleared containers overstaying for more than 30 days to inland container depots (ICDs). The transfers, which started…

Truckers: Manila CYs congested, won’t accept return of empties

The Aduana Business Club, Inc. (ABCI) is asking shipping lines to direct the return of empty containers to container yards (CYs) in nearby provinces…