The Markets, the World Economy, Shipping and the Greek saga…

John Faraclas’ live interview to Panos Thomakos at SBC TV last Friday the 14th of December 2012 tackled the following issues:

1. The continuation of the downward markets – wet and dry in dire straits!

2. The Markets, the free fall of the BDI at 784 points! He expressed his concern with the way shipbrokers worldwide advise clients to …the detriment of the trade and owners themselves!  Shipbrokers have a duty of care and must be serious professionals. He explicitly said that he is happily unhappy about predicting the markets and conversely their fall, but nobody was listening. He expressed his dismay in the way some greek brokers “predict” the markets and wrongfully advise clients.

3.  Koreas’ miraclein the shipbuilding industry, the initial cooperation with Japanese products and services companies…main engines etc…  The successful Korean Car Industry and the Korean shipyards involvement alike in Japan and other major industrial countries… “Greece could have done it when the late Alexander Isigonis (Mini’s designer) come in Greece from England and the then prime minister,  the late Constantine Karamanlis declined his offer. The Turkish advancement in the car industry too,  is an example of reasoning in the neighbouring country…”

4. The advantage of weather for Greek Tourism which will greatly assist the country’s ailing economy….but the state’s inability to take the appropriate advantage and organise the tourist sector… stops the development and further earnings!

5. Asked about the markets due to the audience demanding further explanations, he expressed his concern that the BDI might go down to 500 points which means that the listed companies will have a problem; the non listed too. Charterers might collapse….

6. The shipping markets crash in 1981, the Continental Illinois US$ 700 mio disaster which equals today’s the US$ 3 billion mark….

7. The good market’s level which he tagged at 4-6, 000 points of the BDI…. and what the few owners with cash available might do, or already are doing….

8. His forecast that the markets will not bounce back in 2015 but close to 2020, unless war issues and geopolitical events prevail….

9. The collapse of the banking sector and the bankers to blame for, as the new products that they introduced failed, as well as the plastic money’s disaster in the world economy!

10. The Emerging Markets and Africa in particular being the best future spot for development.

11. The difficulties in China and the 7, 24% of inflation in India… and what does this mean for a 1, 2 billion nation….

12. The confrontations ahead in the Far East, the case of Iran, the Middle East and North Africa spring…., Syria et al….

13. The future of Arctic Shipping and Putin’s initiative to place the Russian Flag…. on a pole …in the North Pole…claiming the area. The Arctic shipping advantages versus the Middle East…

14. When Thomakos reiterted that….“the Greek Prime Minister is trying”,   he said “…but you cannot play basketball having your one hand in the plaster…”, adding that “Too much austerity will never make the expected development to come”!

15. New situation in Greece vis-a-vis the new Law on the Greek Ministry of Shipping, the Aegean and Ports…falls sort – in his view from reality and pragmatism and will explain the reasons, possibly,  at the next interview…

16. The fact that Greece is a self-sustained country, and can see the real miracle of reality in progres back on track…. “The Greek Government must make peace with the Opposition and the Unions otherwise forget it”!

17. He explained that he is an optimist, but until now the way things go makes him wonder when catastrophe strikes!!!

18. Lastly, he reiterated that progress in Greece will come only from Shipping, Tourism, Oil and Gas (the same applies for the entire world economy)!

We look forward to our viewer comments. As usual there will be a translation into English and viewers can log on here to listen: