MSC sees market shift to Middle East and Gulf

A new option for perishable
shippers out of the Port
Elizabeth area is playing
out well, thanks to the
commitment of port
partners and carriers like
MSC Shipping.
“Thanks to the foresight
of our chairman Captain
Salvatore Sarno in switching
our vessel calls to Ngqura
in October 2009 with the
MSC Catania, together with
TPT we have developed
Ngqura into a major hub for
a number of our trade lanes.
I think that by doing this we
have assisted our clients in
the Eastern Cape by offering
them this newly developed
port, which has extensive
reefer plug facilities. Its
advantageous location
has had a positive impact
on their overall logistics
chain requirements,” Mike
Economou, director of MSC
Shipping, told FTW.
The company, which
recently celebrated its 40th
anniversary of shipping in
South Africa, also increased
its reefer capacity with
another milestone – it’s the
second carrier in the world
to have achieved 2 000 000
TEUs in vessels’ capacity.
Recent years have seen
good growth in MSC’s
European service, allowing
the liner to become a major
platform for the movement
of perishables from all SA
ports to Europe, Economou
noted. “This year, we have
seen a downward trend
to Europe as a result of
the economic crisis and a
stronger rand, which has
placed pressure on produce
pricing for the exporters.
This has forced them to look
at alternative markets for
their produce and we have
seen a shift to the Middle
East, USA/Canada, Far East
and Angola, where MSC has
a distinct presence. We have
seen good growth to these
areas,” he said.
“We will continue to align
our services to industry
demand, and with the shift
in market focus of our
clients we have recently
aligned our service to the
Middle East and Gulf trade
lane to service their needs.
Over and above this, our
Jebel Ali office ensures
free-flowing operations and
timely connections to the
Gulf region.
“The future will always
present various challenges,”
Economou said, “however
none as important as the
current problem we foresee
with the RTG operations
at the Port of Cape Town
which become inoperative
in high wind speeds, once
again impacting on our
service to our clients. We
are presently in discussions
with TPT to try to find
a solution before the
commencement of the
dreaded south-easterly
winds which will have a
direct impact on all the
early grapes moving to UK/
Europe.”