A 221-page paper on the state of the ocean freight industry, Container Terminals: Paths to Profitability, is cautioning against immediate future investment in the ocean freight industry.
Compiled by stalwart consultants Remco Stenvert and Andrew Penfeld, the report says the industry is facing the worst disruption and uncertainty since the 1970s.
“The container port and terminal business faces greater uncertainties now than at any time since the container revolution started in the late 1970s,” A British supply chain portal quoted from the report.
Systemic and intrinsic risks are flagged as primary pitfalls that could affect profitability in the next decade.
The report comes in the wake of some of the most volatile developments experienced in global shipping as volumes keep decreasing ahead of the IMO 2020 0.5% sulphur cap restriction coming into play on January 1.
