Shipping lines facing possible bankruptcy

The shipping industry is in enormous debt after investing heavily during the boom years, and lines will have to shed assets in order to stay afloat, according to the latest report from business advisors, AlixPartners.



It has failed to capitalise on steeply lower oil prices, and even the global economic recovery is not allowing it to escape.



Tlaking about the bankruptcy risk, the international business news TV channel, CNBC, said that the industry has struggled for years, “grappling with the cost of investing in fleets at a time when the Baltic Dry Index, which measures the price of moving raw materials by sea, was knocking around all-time lows”.