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i DRY CARGO DC international WWW.DRYCARGOMAG.COM ISSUE NO. 237 JULY 2020 FEATURES Bauxite & Alumina Trades Inland Rail & Barge Bulker Classification Cranes Containerized Bulk Handling & Technology The world’s leading and only monthly magazine for the dry bulk industry CONTENTS E-Crane, manufacturer of high production bulk material and scrap cranes. We at E-Crane DCi offer tailor-made solutions to meet your needs for high productivity and reliable handling of scrap, grain, coal, cement clinker, or any other bulk material, while striving to optimize your operation, increase efficiency, and lower costs. E-Crane Worldwide Koekoeklaan 53 9991 Adegem, Belgium T: +32 (9) 378 04 44 E: [email protected] E-Crane USA 1332 Freese Works Place Galion, OH 44833, USA M: +1 (614) 579 3732 T: +1 (419) 468 0090 E: [email protected] PUBLISHERS Jason Chinnock WWW.DRYCARGOMAG.COM JULY 2020 issue [email protected] Andrew Hucker-Brown [email protected] EDITORIAL Louise Dodds-Ely Editor [email protected] Jay Venter Deputy Editor featuring... [email protected] Samantha Smith Directories TRADE & COMMODITIES [email protected] Bernice van Wyk Office Manager Solid support for grain and soya trade 2 [email protected] US moves to oust China as Brazil’s main trading partner 3 SALES BAUXITE & ALUMINA TRADES: COVID-19 EXACERBATES AN ALREADY DIFFICULT MARKET 4 Matthew Currin Senior Sales [email protected] Executive Zack Venter Advertisement Sales [email protected] Executive SHIPPING & TRANSPORT CORRESPONDENTS ABB pioneers drydock-to-drydock turbocharger service concept 12 Brazil Patrick Knight GETTING THE BUZZ ON BULKERS — CLASSIFICATION AND SERVICES 13 India Kunal Bose Asia David Hayes INLAND CARGO MOVEMENTS: IMPACT OF PANDEMIC AFFECTS SUPPLY/DEMAND AND LOGISTICS 18 Europe Barry Cross Malaysia Wira Sulaiman Philippines Fred Pundol PORTS, TERMINALS & LOGISTICS South Africa Iain McIntosh Handling operations continue at the Port of Tilbury following silo explosion 25 UK Maria Cappuccio UK Michael King New Sines ore terminal mooted to help Portuguese Covid recovery programme 25 UK Richard Scott G3 opens new Vancouver terminal 26 USA Colby Haines USA Walter Mitchell Paranaguá is having record 2020 27 ADMINISTRATIVE OFFICE Business Publishing International ENGINEERING & EQUIPMENT www.drycargomag.com Corporate Park, 11 Sinembe Crescent La Lucia Ridge, South Africa, 4051 ONE-ARMED GIANTS: BULK HANDLING CRANES AND MATERIAL HANDLERS IN ALL THEIR GLORY 32 Tel: +27 31 583 4360 THE GROWING FINESSE OF EQUIPMENT USED TO HANDLE BULK CARGOES BY RAIL AND BY BARGE 41 Fax: +27 31 566 4502 Email: [email protected] IHI STEEP ANGLE CONVEYOR: SUCCESSFUL INSTALLATION WITH IHI TECHNOLOGY 55 Twitter: twitter.com/drycargomag TURNKEY BULK HANDLING PROJECTS: ENGINEERING CONSULTANCY, PROJECT DESIGN, EQUIPMENT SUPPLY 59 HEAD OFFICE THE CASE FOR CONTAINERS: CONTAINERIZED BULK HANDLING SAVES TIME AND EFFORT 67 Trade Publishing International Limited USA ENGINEERING: BULK HANDLING EQUIPMENT DESIGN, MANUFACTURE & EXPERTISE 82 Clover House, 24 Drury Road, Colchester, Essex CO2 7UX, UK Tel: +44 (0)1206 562552 BREAKBULK & BAGGING Email: [email protected] Website: www.drycargomag.com FLEXICON’S DUAL BULK BAG FILLING/PALLETIZING SYSTEM FILLS COPPER CONCENTRATE AT 30TPH 95 Twitter: twitter.com/drycargomag ISSN 1466-3643 GRAIN HANDLING DIRECTORY Insta: www.instagram.com/drycargointernational 97 Trade Publishing International Ltd does not guarantee the JULY 2020 information contained in Dry Cargo International, nor does it accept responsibility for errors or omissions or their consequences. i Opinions expressed herein are not necessarily those of Trade Publishing International Ltd DRY CARGO DCi © Trade Publishing Int’l Ltd 2020 DC international 1 Solid support for grain and soya trade urther indications of weakness in ending last month, according to the large declines, amid reduced energy F import demand for commodities latest International Grains Council consumption and (for steam coal) have been seen recently. estimates. Large import increases greater proportional usage of other Despite some positive elements, a among Asian countries, the Middle East energy sources. substantial global seaborne dry bulk area and African countries boosted the Updated forecasts published by the trade decline during 2020 as a whole total. In 2020/21 starting this month, a Australian Government a few weeks ago looks set to result. An upturn next year further small 1% world trade increase showed world steam coal trade falling depends on the progress of measures may occur (as shown in table 1), amid by 97mt or 9% in 2020, to 1,046mt, a controlling the Covid pandemic. expectations of higher imports into figure which includes land movements A new update on the outlook for the Europe. but is mainly sea trade. A similar world economy, published at the end of percentage fall for metallurgical coal June by the International Monetary IRON ORE trade, down by 32mt to 309mt was Fund, underlined the severity of the Reduced steel demand and production is suggested. downturn unfolding. a prominent theme affecting global Expected reductions in China and Global GDP could fall by almost 5% in trade in the main raw materials this India comprise a substantial part of the 2020 (after a 3% rise last year), with the year. The principal exception is China, envisaged declines, together with advanced group of countries — mainly where activity is holding up. Elsewhere, reductions in Japan, South Korea and USA, Europe, Japan and Korea — especially in European countries, Japan Europe. experiencing a larger 8% reduction, and and South Korea, the background for China seeing only 1% growth. Revival iron ore imports is much weaker. INOR BULKS BULK CARRIER TRADE & FLEET OUTLOOK TRADE & FLEET CARRIER BULK M prospects in 2021 are surrounded by Estimates for 2020 published recently Among minor bulk commodities which “pervasive uncertainty”, according to by the World Steel Association could be affected by some weakening IMF economists. emphasize the huge extent of steel influences this year, is the fertilizer demand destruction evolving. Based on trade segment (comprising phosphate, GRAIN & SOYA measuring finished steel products potash, sulphur, urea and other types). One part of dry bulk trade still providing demand, a reduction of 16% from last These components appear to have solid support is grain and soya year's volume is indicated in the totalled around 180mt in 2019, and movements. Estimates of growth in European Union, while Japan and Korea signs point to a flat or lower volume in 2019/20 have been revised upwards. could see 19% and 13% falls the current period. Consumption of these commodities respectively. By contrast in China a 1% apparently remains well supported, increase is indicated. The WSA suggests BULK CARRIER FLEET accompanied by buoyant import that the “recovery path will be slow”. The Handysize (10–39,999dwt) fleet's demand. This positive picture seems set enlargement may be slower than seen to persist over the twelve months COAL in other bulk carrier size groups during ahead. Lower seaborne coal movements this 2020. As shown in table 2, lower Global trade in wheat plus corn and year are expected to be a major newbuilding deliveries and higher other coarse grains may have expanded contributor to the downturn envisaged scrapping than seen last year is likely to by as much as 22mt (million tonnes) or in global dry bulk trade. Both steam and result in the handysize fleet growing by 6%, reaching 386mt, in the crop year coking coal segments look set to see about 1%, half of last year's increase. TABLE 1: GLOBAL WHEAT & COARSE GRAINS IMPORTS (MILLION TONNES) 2015/16 2016/17 2017/18 2018/19 2019/20* 2020/21* Asia (excluding Japan) 95.0 99.7 99.3 89.9 101.7 102.7 Japan 22.1 23.1 23.6 23.7 23.9 24.2 Middle East 55.8 54.0 61.5 61.4 65.4 60.7 Africa 76.3 75.4 76.9 72.0 80.3 83.0 Others 96.5 100.6 108.5 117.0 114.3 119.7 World total 345.7 352.8 369.8 364.0 385.6 390.3 source: International Grains Council, 26 June 2020 *forecast July/June crop years www.drycargomag.com TABLE 2: HANDYSIZE 10–39,999DWT BULK CARRIER FLEET (MILLION DEADWEIGHT TONNES) 2015 2016 2017 2018 2019 2020* Newbuilding deliveries 6.5 4.6 3.4 3.0 2.9 2.0 Scrapping (sales) 5.2 3.4 1.7 0.5 0.8 1.0 Losses 0.0 0.0 0.0 0.0 0.0 0.0 Plus/minus adjustments 0.1 0.0 0.0 0.1 0.0 0.0 World fleet at end of year 97.3 98.5 100.2 102.7 104.7 105.7 % change from previous year-end +1.3 +1.3 +1.7 +2.5 +2.0 +1.0 source: Clarksons Research (historical data) & Bulk Shipping Analysis June 2020 forecast *forecast JULY 2020 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 US moves to oust China as Brazil’s main trading partner The US and Brazil are negotiating what is being called a “mini trade agreement”, which is expected to enter into force by the end of the year, irrespective of what happens with the coronavirus. Reports suggest that, on the table, there is a possibility that this will lead to the US buying more minerals from Brazil for use in technological products, including computers and mobile phones. Previously, President Trump had imposed controversial export tariffs on Brazilian aluminium and steel; however the new deal could see more mining taking place on indigenous lands and border regions. It is being argued that this would help local inhabitants and stamp out illegal mining operations.
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