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The World's Leading and Only Monthly Magazine for the Dry Bulk Industry

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The World's Leading and Only Monthly Magazine for the Dry Bulk Industry i DRY CARGO DC international ISSUE NO.197 NOVEMBER 2016 FEATURES Fertilizer Trades Italian Equipment FIBCs & Bagging France & Belgium Cement Handling & Storage Equipment The world’s leading and only monthly magazine for the dry bulk industry Æ Detection system capable of detecting inductive sensor loops Æ Æ RFID Belt Rip Detection Æ Unique RFID Antenna ID Code Æ Æ Stops the belt when longitudinal rips are detected Æ Antennas can be detected at 15m/s Steel Cord Scan Æ Antennas installed at shorter intervals to offer greater protection Æ Æ Available as a modular or fi xed installation Æ Shows all cord damage to BTM Belt Th ickness Monitoring the conveyor belt Æ Indicates the health of all splices Æ Shows all wear and damage Æ Operates continuously while to the conveyor belt the belt is in full operation Æ Accurate reporting of belt wear or damage Æ Predicts the remaining lifetime of the belt Æ Generates a belt image after the fi rst revolution FIND OUT MORE Æmcube.rema-tiptop.com MONITOR // MAINTAIN // MANAGE REMA M3 Cost effi ciency - Plant profi tability - Customer centricity REMA TIP TOP offers unique solutions for specific conveyor belts by providing real time data showing operations that focus on profitability and sustainability. any form of damage, allowing planned maintenance All systems have been designed to provide clients with and shortening production downtime. greater insight into the current status of their Æ www.rema-tiptop.com CONTENTS VIGAN pneumatic ship unloader type NIV 600tph, installed at DCi the Port of Taichung (Taiwan) at the end of 2015. The machine is mounted on a gantry on rails, and is equipped with two main electrical motors of 250kW each and a 28m boom. VIGAN already delivered a pneumatic ship unloader type NIV 400tph to the same customer in 2012. VIGAN Engineering S.A. Rue de l’Industrie, 16 BE – 1400 Nivelles Belgium T: + 32 67 89 50 41 F: + 32 67 89 50 60 E: [email protected] W: www.vigan.com PUBLISHERS Jason Chinnock [email protected] NOVEMBER 2016 issue Andrew Hucker-Brown [email protected] EDITORIAL featuring... Louise Dodds-Ely Editor [email protected] Jay Venter Deputy Editor [email protected] TRADE & COMMODITIES Samantha Smith Directories [email protected] Adverse influences affecting coal trade 2 Stephanie Hodgkins Office Manager SWEET YEAR AHEAD FOR SUGAR PRICES 3 [email protected] GLOBAL FERTILIZER OUTLOOK 7 SALES Matthew Currin Senior Sales [email protected] Executive SHIPPING & TRANSPORT Gregg Franz Advertisement Sales [email protected] Executive Sustainable shipping moves a step closer 15 Jotun lauds EU approval of copper antifoulings 16 CORRESPONDENTS Brazil Patrick Knight HUGE CHANGES AHEAD: BIMCO MARKET REPORT 19 India Kunal Bose TOUGH MARKET CONTINUES FOR HANDYMAX BULKERS 23 Asia David Hayes Europe Barry Cross Malaysia Wira Sulaiman PORTS, TERMINALS & LOGISTICS Philippines Fred Pundol South Africa Iain McIntosh GPA hires former COO of CMA CGM America 31 UK Maria Cappuccio Italy’s Istop Spamat serves the ports of Bari and Molfetta 32 UK Michael King RANCE ELGIUM CONTINENTAL BULK HANDLING UK Richard Scott F & B : 33 USA Colby Haines USA Walter Mitchell ENGINEERING & EQUIPMENT ADMINISTRATIVE OFFICE Business Publishing International AUMUND conveyor for 750°C hot DRI sold to Algeria 47 Corporate Park, 11 Sinembe Crescent SAFEGUARDING THE ENVIRONMENT WITH BEUMER’S PIPE CONVEYOR 59 La Lucia Ridge, South Africa, 4051 Tel: +27 31 583 4360 TEREX IMPLEMENTS NEW CORPORATE STRATEGIES 63 Fax: +27 31 566 4502 THE CHALLENGES OF HANDLING CEMENT AND CLINKER 67 Email: [email protected] WHEN IN ROME... AND ELSEWHERE IN ITALY 97 Twitter: twitter.com/drycargomag HEAD OFFICE REGIONAL REPORT Trade Publishing International Limited Clover House, 24 Drury Road, BALTIC FOCUS: BULK ACTIVITY UNDER THE SPOTLIGHT 103 Colchester, Essex CO2 7UX, UK Tel: +44 (0)1206 562560 Fax: +44 (0)1206 562566 Email: [email protected] Website: www.dc-int.com SUBSCRIPTION RATES Twitter: twitter.com/drycargomag 1 year 2 years 3 years NOVEMBER 2016 NOVEMBER ISSN 1466-3643 UK £170.00 £280.00 £365.00 Trade Publishing International Ltd does not guarantee the Europe £210.00 £355.00 £460.00 information contained in Dry Cargo International, nor does USA & ROW £260.00 £445.00 £580.00 it accept responsibility for errors or omissions or their If you do not subscribe, this copy of Dry Cargo International could be your last. Please consequences. Opinions expressed herein are not complete the order form on the Advertisers’ Index page to guarantee delivery of your necessarily those of Trade Publishing International Ltd regular monthly copy. DC © Trade Publishing Int’l Ltd 2016 i 1 Adverse influences affecting coal trade igns of reduced commodity import volumes are growth among key iron ore importers is very limited. In Sclearly visible among dry bulk importing countries. Japan, crude steel output was marginally (by less than 1%) But there are also signs of strengthening activity lower in the first nine months of 2016, at 78.4mt. South elsewhere, some of which have been unexpectedly vigorous Korea’s output was 2% lower at 51.0mt, while in the this year. Consequently overall global seaborne dry bulk European Union a large 5% reduction to 121.3mt was seen. trade still appears to be growing slowly, and this pattern China’s volume saw a minimal increase of well under 1%, to could continue. 603.8mt. The advantages provided by economic progress around the world are limited. One beneficial influence is China’s GRAIN economic growth which, although evidently in a longer term Prospects for global wheat and coarse grains trade, in the slowing trend, has not decelerated much during 2016 so far. current 2016/17 crop year ending June, still suggest a lower Estimates for third quarter GDP in China revealed 6.7% volume than seen in the previous twelve months. The growth, similar to previous quarters. However, there are International Grains Council is forecasting a decrease of 7mt worries about high credit expansion and debt, with potential or 2%, to 337mt, mainly caused by lower imports into China for having unfavourable effects. and Europe. In the EU, a sharply reduced domestic grain harvest was COAL recorded this year. Wheat production, in particular was down Recent forecasts by the Australian Government Department by more than one-tenth due to adverse weather. Nevertheless, of Industry, Innovation and Science illustrate the subdued grain supplies seem to be adequate and imports are still outlook for steam coal. Global trade, including overland expected to decline, falling by 12% to 18.8mt. In China movements but mostly seaborne, is expected to decrease excessive corn stocks are restraining foreign grain purchases, marginally by 1% to 1,043mt (million tonnes) in 2016, after which are estimated to be down by 34%, at 15.7mt. a 7% fall last year, followed by a flat total next year. BULK CARRIER TRADE & FLEET OUTLOOK BULK CARRIER TRADE & FLEET According to this forecast, lower steam coal imports into MINOR BULKS the European Union are likely to be one of the biggest A large part of minor bulks trade is comprised of agricultural negative influences in the current year, falling by 18mt (9%) and related commodities. This group’s total seaborne trade to 176mt. The picture in Asia is mixed, resulting in an is estimated to exceed 350mt annually, and seems to be overall minimal 5mt or 1% increase to 714mt. China’s continuing to grow. In the current year there signs pointing imports may be higher, but India and South Korea are to increased movements of sugar and oilseed meal, expected to see declines. However predictions vary, and especially soyameal. table 1, based on various sources, indicates a possible marginal regional decrease. BULK CARRIER FLEET Among bulk carrier size groups, the Capesize sector (ships IRON ORE exceeding 100,000 deadweight capacity) is growing only Subdued steel production in raw materials importing very slowly, as shown in table 2. While there are still great countries recently has affected iron ore import demand uncertainties about the outcome for this year as a whole, adversely. In China, renewed acceleration of the imports fleet capacity looks set to rise by around 1%. A large volume trend reflects lower output from domestic iron ore mines. of newbuilding deliveries from shipyards probably will be But elsewhere, steel industry downturns have weakened mostly offset by heavy scrapping of old or uneconomic consumption of raw materials. vessels during 2016, similar to the pattern of changes seen World Steel Association figures show that steel production in the previous twelve months. TABLE 1: STEAM COAL IMPORTS IN KEY ASIAN COUNTRIES (MILLION TONNES) 2011 2012 2013 2014 2015 2016* Japan 106.6 113.7 114.5 114.2 120.1 118.0 South Korea 103.2 98.9 100.1 100.8 102.6 98.0 Taiwan 56.0 55.2 57.1 57.0 56.3 57.0 China 138.4 181.5 192.0 165.5 107.9 116.0 India 92.7 123.4 144.1 176.0 171.0 163.0 Total of above 496.9 572.7 607.8 613.5 557.9 552.0 source: various & BSA estimates *BSA forecast TABLE 2: CAPESIZE (100,000DWT & OVER) BULK CARRIER FLEET (MILLION DEADWEIGHT TONNES) 2011 2012 2013 2014 2015 2016* Newbuilding deliveries 45.6 41.9 22.0 18.5 16.9 20.0 Scrapping (sales) 10.5 11.7 7.9 4.2 15.4 15.0 Losses 0.0 0.0 0.2 0.0 0.0 0.0 Plus/minus adjustments 4.7 –0.2 0.1 0.0 –0.4 0.0 Fleet at end of year 249.9 279.8 293.8 308.1 309.2 314.2 % change from previous year-end +19.0 +12.0 +5.0 +4.9 +0.4 +1.0 NOVEMBER 2016 source: Clarksons (historical data) & BSA 2016 forecasts *BSA forecast DCi by Richard Scott, Bulk Shipping Analysis, Tel: +44 (0)12 7722 5784; Fax: +44 (0)12 7722 5784; e-mail: [email protected] 2 TRADE & COMMODITIES Sweet year ahead for sugar prices Kunal Bose Two things primarily move futures prices of raw sugar at sugar average 20.81 cents a pound) and 2015 we saw monthly Intercontinental Commodities Exchange (ICE) in New York.
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