The following are the main points from the latest John Faraclas live interview to Panos Thomakos of SBC TV last Friday the 31st of May 2013; log below and listen:
With the freight markets further down, an undisputable bottoming, Thomakos said that Faraclas’ views where reconfirmed and with the BDI down at 809 point s things look, at best, bleak…
Faraclas agreed that the level of the daily freight rate, particularly on a time charter trip or period, matches that of a suite for just one night in a five star hotel… From the highs of US$ 150, 000 per day for a 150, 000 caper back in 2008 down to US$ 6-7, 000 per day: total collapse.
In a nutshell Faraclas reiterated his view of difficult times ahead and caution is the name of the game. He was pleased to say that his view on the market – long and short period, come out “verbatim true” despite the “hoi polloi’s” views, projections and analysis…
“The geopolitical situ will continue to widen up and the Arab Spring will create another chaos…”, he said.
Faraclas explained also that one shouldn’t compare the competition of Greece and China’s shipowners as a proper one, vis-a-vis the buying spree with ordering newbuildings or acquiring modern second hand tonnage, as the parameters are different. Chinese growth from 14.2% plus in 2007 is now down to 7.8 centum (2012), the population factor widely different, the shipping and political patterns and needs totally different, the pattern of shipping again different. “Yet Greek shipowners manage to stay afloat..”, he stressed.
The case of Islam was raised by Thomakos with Faraclas agreeing that things might turn sour and if one adds piracy and terrorism…then The shit will hit the fan….
Moreover Faraclas explained his view on the development of Greece with development being postponed until 2020 – according to Faraclas’ conservative estimations and the true situation prevailing this very moment.
“Greece is still in turmoil and although the touristic season just begins, somebody must do a Spring-cleaning… Shame…”, he said, “asking” the respective minister of Culture and Tourism to clean the mess! Rubbish, graffiti, wrong social behaviour, to name but a few, needs a total cosmetic surgery… He pressed on saying that: “Reforms must take place not only in Greece but all over Europe, not to say the world”. Taxation continues to be an anathema, according to Faraclas’ assessment. He sees development from business and Greece must be untapped, here and now. The Athens Exchange should be the spearhead towards this effort; add shipping, proper tourism, and the development of the rich oil sea bed of Greece’s EEZ and things can get better. Add the gas factor, gold and other resources and see what you can come with…
This and many more issues can be heard in Greek, just log on above, and within the next 48 hours there will be subtitles in English for our international viewers’ facilitation. Enjoy it!