Key Supply Chain Insights as of November 21, 2024
Euroseas Orders Container Ships Amid Earnings Upswing
Athens-based shipowner Euroseas has announced the order of two new container ships in China as it reports earnings that exceeded Wall Street expectations. The vessels, to be constructed at Jiangsu Yangzi Xinfu Shipbuilding, are set for delivery in the fourth quarter of 2027.
Despite a dip in net income, the company outperformed analyst projections, reflecting resilience in a volatile market. This strategic move underscores Euroseas’ commitment to fleet expansion and modernization as global shipping markets evolve.
Maersk Completes Historic Methanol Retrofit on Large Boxship
AP Moller-Maersk has achieved a milestone by completing the first methanol conversion of a large container ship, the 15,226-TEU Maersk Halifax. The vessel underwent an 88-day retrofit at China’s Zhoushan Xinya Shipyard, transforming it into a dual-fuel ship.
The retrofit, conducted by MAN Energy Solutions, included:
Replacement of engine components to enable methanol operation.
Installation of new fuel tanks, a fuel preparation room, and a fuel supply system.
The Maersk Halifax is now operational on transpacific routes, marking a significant step in Maersk’s strategy to lead decarbonization efforts in shipping.
India Eyes Trade Growth with Bangladesh Amid Reopened Borders
India’s Commerce Secretary Sunil Barthwal announced significant progress in resolving trade disruptions with Bangladesh, with borders reopening after a week-long closure due to political turmoil in the neighboring country.
Barthwal emphasized the government’s focus on restoring and enhancing trade, stating, “We believe there should be improvement in trade, and we are making every effort to achieve that.”
The reopening follows the temporary suspension caused by former Bangladeshi Prime Minister Sheikh Hasina seeking refuge in India amid widespread unrest.
India Removes Chana Import Duty, Extends Yellow Peas Import Window
In a bid to address rising pulse prices, the Indian government has removed the 66% import duty on desi chana (Bengal gram) and extended the import window for yellow peas until October 31, 2024.
Key factors include:
Current price trends: Chana prices are 10–15% above the minimum support price (MSP) of ₹5,440 per quintal in Central India.
Supply concerns: The removal of duties and extended import windows aim to stabilize domestic markets and boost pulse availability.
These measures reflect India’s proactive steps to manage food inflation and ensure sufficient supply during peak demand periods.
The Bigger Picture
These developments highlight the dynamic nature of global trade and shipping:
Shipping innovations like methanol retrofits signal the industry’s shift toward sustainability.
Strategic fleet expansions showcase companies' efforts to align with market demand.
Trade policies and partnerships, such as India’s engagement with Bangladesh and pulses market adjustments, emphasize the importance of cross-border collaboration and domestic market stability.
As global trade networks continue to adapt to evolving challenges, stakeholders must remain agile to capitalize on opportunities and navigate uncertainties.
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