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Business as usual at SafmarineGrant Daly, the CEO of Safmarine, has pointed out that, despite the economic downturn affecting the industry, the company has not removed any ships from service.
But although the markets in the Far East and India were strong and their trade with Africa was thriving, the entire industry had been affected by the Euro zone troubles and the dampening of the US economy, and freight rates had been cut to "less than would have been paid in 1995," he said.
Safmarine’s sister company, Maersk, has 9 percent of its capacity out of service at present while 294 vessels in the entire industry have been laid up, with 19 percent less capacity in use on trade between Europe and Asia.
However, Daly said, though China’s international trade had been affected by a fall in demand from its main export markets, growing consumer demand in its domestic market had meant only a slowing in its growth rate, to between 10 percent and 7 percent.
Publication date: 4/25/2012
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