Faraclas’ weekly live interview to Lilian Margaritis of SBC TV last Friday the 4th of October 2013 concentrated in five main issues: The unstable freight markets, the shipbuilding industry, shipfinance markets, the container trade and maritime tourism.
On the freight markets and despite the plus on the BDI at 2084 points (from 2046 the previous week) he said that despite this small rise and having seen the index going below the 2000 points mark at 1994 on the 1st of October, volatility, uncertainty coupled with overcapacity and lack of funds – shipfinance the worse is there to come. With an overall week of almost minus fifty points on the Cape size vessels – the size which dominated the rise, things still look bleak despite some excellent on the other hand purchases of tonnage. Certainly the indices will be the point of reference for a long time and caution is still there.
The wet cargoes are still on a low level and it remains to be seen what’s up next.
On the shipbuilding industry which over the last fifteen years has influenced the freight markets and a US$ 1 trillion was spend – according to Faraclas the level of the actual Greek debt, he said that controls should be imposed and condemned the wrong chosen owners and managers for Greece’s ailing shipyards particularly that of Skaramanga given the latest developments there which dominate the news provoking any side for a live denial – if they dare…
The establishment of a new shipfianance bank that of Maritime and Merchant Bank in Oslo proves Faraclas’ argument that there are not anymore funds available for shipping by the traditional lending banks, at a time mostly needed given the opportunities for safe investment in the industry.
The UASC’s ordering of above the 14, 000 boxes mark ships, according to Faraclas raises the competition alarm for a new rally in this turbulent but promising sector and with the Hamburg Intermodal Conference as well Exhibition on now, the COA’s meeting there too, this is a sector worth following.
The forthcoming World Travel Market in a month’s time at London’s Excel Centre was raised by Mrs. Margaritis with John Faraclas saying that the industry controls a twenty centum there and that could be great for the Greek economy as well as for the shipbuilding industry with Neorion Shipyard capable to repeat some exceptional yacht orders.
The above and other matters which can be heard in the video which follows here below and soon with subtitles in English. We look forward to your written comments.