Reliant Logistics Institute


The status of the Shipping Market


The ship’s revenue dropped to unprecedented levels in the global market in the year 2016, reaching $7,364 per day in August. Over the past thirty years, this drop in incomes in the industry has been unprecedented and it can be said with certainty that it has been the lowest level of income of ships during this period. In the year 2016 and 2017, the average ship’s revenue never returned to this low level and generally always improved. The daily incomes of ships in the industry at an average during the whole 2017 were $10,742 which shows %12.6 up from levels in 2016. In December 2017, the average daily income of ships reached $12,662, which represents an increase of %11 compared to the same period in 2016. Although it seems that the shipping industry’s revenues are recovering, it should be kept in mind that the average levels of ship revenue throughout the year 2017 and on the last month were still 31% and 19% respectively below the daily average income of the ships in the last 25 years. International statistics show that the growth in maritime transportation will increase by an average of 1% annually until 030. Of course, this growth rate will be much higher in the bulk sector. Even the bulk market is expected to grow up to 6000 million tons by 2030. Most of this growth is due to imports of China and India and most of the commodities are coal and iron ore. Such growth in the bulk sector will be expected for other countries by 2035. As a fact, the highest rates of the shipping sectors are expected for the dry bulk market. In the container segment too it is the same situation. The forecast is that by the year 2035 the container trade will have growth of about 3.1 billion tons.“The economic growth trend in developing countries reflects the ongoing shift in investment, production and trade in these countries. The 20% increase in global economic growth in 2017 has led to the maintenance and growth of the shipping industry in spite of all the destructive trends in this industry. Although projections indicate that the economic growth rate in 2018 will not change significantly compared to 2017, maintaining this growth rate by eliminating or reducing the impact of destructive trends in the shipping industry will lead to the retention and development of the markets of this industry.


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