Attending the TradeWinds Shipowners Forum Singapore – September 2017

26th October, 2017

It was a great event attended by Singhai Marine Managing Director, Mr Terence Zhao Wei and Business Development Director, Mr Johnny Sim.

The speakers lists include:

Tan Beng Tee, Assistant Chief Executive (Development), Maritime and Port Authority of Singapore (MPA)
James Marshall, CEO Berge Bulk
Michael A.J. Parker, Global Industry Head, Shipping, Logistics and Offshore Industries, Citi
Andreas Østern, Head of Shipping, Offshore & Logistics Asia, DNB
Mark Jackson, CEO The Baltic Exchange
Kenny Rogers, Head, Aurora Tankers Management
Andrew Hoare, Managing Director & Group COO, Navig8 Asia
Kirsi Tikka, Executive Vice President, ABS
Peter Lye, Head of Shipping, Anglo American
Thomas Semino, CCO, Golden Ocean Management
John Su, President & CEO, Erasmus Shipinvest Group
Fiete Kallenberg, Head of Capes – Asia Pacific, Cargill Ocean Transportation
Michael Nagler, Head of Chartering, Noble Group

An interesting insight into how is the market looking today, in the next six months and the next two years? What are the risks and why are markets so volatile? What is the long-term outlook for demand and is sea-bourne trade decoupling from economic growth? With the new building order book described as ‘relatively empty’, is the shipyard crisis having an impact on capacity? Will prices remain low and encourage orders, or will capacity dry up?

Where is the money for shipping coming from? Is the lack of easy money the main contributor to more sustainable growth? Will the capital markets, especially in the US, come back for new equity and bond issues? What options are available to fund expansion today?

Examining closely at asset values and the business case for consolidation, how strong is the trend? Was the panel taken by surprise at the pace and magnitude of the dry bulk rate and asset value recovery during the first quarter, a typically seasonal weaker period? Profitable asset play: should owners with vessels acquired during the trough continue to trade them or sell, profit take and re-invest?

For the tankers, is it only the oil majors who set the rules and create the market, or can/do owners have influence? Does this mean only the biggest will thrive and survive given the barriers to entry? How does a privately owned smaller operator compete? Are tanker owners generally more bankable give the trend of many lenders to target the biggest names? Are short term speculative investments in tankers likely to attract employment from oil majors and finance?

Many interesting questions were asked and indepth answers provided.  At the end of the day, it is continouous hardwork and a good acumen of entrepreneurship that makes the difference.