JUPITER SEA & AIR SERVICES PVT. LTD, EGMORE – CHENNAI, INDIA.

E-MAIL : Robert.sands@jupiterseaair.co.in   Mobile : +91 98407 85202

Corporate News Letter for  Friday  September  29, 2023.

                                                                                                                       

::               Today’s Exchange Rates             ::

Source : The Economic Times. R


CURRENCY

PRICE

CHANGE

%CHANGE

OPEN

PREV.CLOSE

DAY's LOW-HIGH

USD/INR

83.1975

-0.042496

-0.051052

83.23

83.24

83.1325- 83.245

EUR/USD

1.0535

0.0032

0.30468

1.0503

1.0503

1.0491- 1.0536

GBP/INR

100.9112

-0.215302

-0.212903

101.0057

101.1265

100.9013- 101.0231

EUR/INR

87.3545

-0.546501

-0.621723

87.3977

87.901

87.3162- 87.4394

USD/JPY

149.253

-0.376999

-0.251954

149.63

149.63

149.208- 149.561

GBP/USD

1.2204

0.0069

0.568599

1.2135

1.2135

1.212- 1.2206

DXY Index

106.663

-0.002998

-0.002811

106.673

106.666

106.576- 106.713

JPY/INR

0.5566

-0.0017

-0.304504

0.5568

0.5583

0.5566- 0.5574

///                     Sea Cargo News          ///


India begins anti-dumping probe on drawer sliders, sulphur black imports from China




India has initiated a probe into the alleged dumping of drawer sliders by Chinese firms in the country. It has also initiated an anti-dumping probe on sulphur black imports from China.

The move is aimed at protecting domestic players from cheap imports from the neighbouring country. The probe on drawer sliders was started after a complaint by Highhope Furniture Fittings Manufacturers Associates Pvt Ltd was received, which stated that the domestic industry is getting injured. 

The period of investigation is FY23. In both cases, the Directorate General of Trade Remedies (DGTR) said that there is sufficient prima facie evidence of injury being caused to the domestic industry by dumped imports from China.

“The authority initiates a suo motu anti-dumping investigation on the imports,” it said. The anti-dumping probe on sulphur black imports from China has been initiated based on a complaint filed by Atul Ltd. The period of investigation is April 2022-March 2023.

 

MSC's second-hand ship shopping spree continues despite declining vessel values





Reports this week that MSC has purchased the 2013-built 9,403 teu Joseph Schulte for a price of around $55m confirmed that the top-ranked carrier has not lost its appetite for acquiring second-hand container tonnage.

The post-panamax container vessel was trapped in the port of Odessa, Ukraine after Russia invaded its neighbour in February 2022 and was finally released on 16 August this year. 

According to Alphaliner, MSC purchased the ship from the vessel’s insurers trumping rival CMA CGM in the bidding process. The consultant noted that if confirmed, the acquisition would take MSC’s unprecedented buying spree of second-hand tonnage since August 2020 to an eye-watering 324 ships.

MSC’s aggressive raids on the S&P containership market enabled the carrier to overtake Maersk as the largest carrier in terms of capacity in early January 2022.

Since then, its continued purchase of second-hand ships, coupled with the arrival of newbuild vessels has seen the gap between the two widen significantly – according to Alphaliner data, MSC’s fleet currently has a total capacity of 5.3m teu, compared to Maersk’s 4.1m teu.

How China uses shipping for surveillance and control





Ninety percent of the world’s trade is shipped by sea, bringing finished goods, components, and commodities to markets around the globe. But maritime trade is not only critically important—it’s also fragile, easily disrupted by pandemics, port bottlenecks, or large ships getting stuck in canals.

While maritime embargoes during wartime have been a staple of conflicts since the days of the Spanish Armada, today’s warfare won’t require a flotilla to keep essential goods from reaching their destination.

Instead, adversaries can paralyze shipping by weaponizing information. The Chinese government has spent the past three decades trying to gain access and influence in the open seas, strategic shipping lanes, and foreign ports in Asia and around the globe.

China owns, co-owns, or operates some 96 foreign ports globally, with its portfolio constantly expanding—most recently in Hamburg, Germany, and the Solomon Islands. Of course, foreign ownership or control of ports and logistics operations is not an intrinsic hazard; companies from the Netherlands, Singapore, and the United Arab Emirates own and operate dozens of overseas ports.

But China’s operations have 2 additional and problematic aspects. First, China has introduced massive and little understood information gathering infrastructure at critical ports worldwide. Second, Chinese laws require that all Chinese companies operating overseas – both Private and State owned – must gather and report intelligence on foreign entities to the Chinese government.







ABB to power Samskip’s new hydrogen-fuelled container ships


ABB will deliver a comprehensive power distribution system for two newbuild short-sea container ships of the global logistics company Samskip Group headquartered in Rotterdam, Netherlands. In particular, the vessels will be among the world’s first of their kind to use hydrogen as a fuel.

The order was booked in the second quarter of 2023, but financial details were not disclosed. Also, the 135-meter ships are due for delivery in the third quarter and the fourth quarter of 2025, respectively. Both vessels will be operating between Oslo Fjord and Rotterdam, a distance of approximately 700 nautical miles.

In addition to the integration of hydrogen fuel cells, ABB’s comprehensive package includes the new, compact version of ABB Onboard DC Grid™ power distribution system that will ensure the optimal use of energy on board.

Moreover, the vessels will also feature ABB’s energy storage solution control, with the industry-leading automation technology, ABB Ability™ System 800xA, ensuring seamless operation of onboard equipment.

According to ABB, "Fuel cells turn the chemical energy from hydrogen into electricity through an electrochemical reaction. With the use of renewables to produce the hydrogen, the entire energy chain will be clean. Hydrogen fuel cell technology is considered as one of the most promising solutions to support shipping industry’s decarbonization agenda, with the potential to significantly reduce greenhouse gas emissions and increase energy efficiency."

Samskip’s vessels will be powered by a 3.2 MW hydrogen fuel cell each, with diesel generators installed for back-up.

HMM to become minority owner of Polaris Shipping


South Korea’s flagship box line HMM is set to become a minor shareholder in compatriot shipping outfit Polaris Shipping, which focuses on operating very large ore carriers.

HMM and state-backed ship finance institution Korea Ocean Business Corporation are participating as financial investors in Woori Private Equity Asset Management (Woori PE), a private equity fund headed by Woori Financial Group.

Woori PE has been chosen as the preferred buyer to acquire Polaris Shipping from its owners, Kim Wan Jung and Han Hee Seung, who want to exit the shipping business. Kim and Han control Polaris through a combined stake of 86.38% held through direct holdings and through their holding company Polar Energy & Marine. Aeneas-NH Private Equity Fund, a consortium of NH Private Equity (a unit of Nonghyup Bank) and Aeneas Private Equity, holds the remaining 13.62%.

China’s state-owned COSCO Shipping Bulk had also bid for Polaris and there were concerns about foreign ownership of Polaris, which transports iron ore and coal to South Korean steelmaking group POSCO and the national utility group Korea Electric Power Corporation.

Polaris, which owns 29 bulk carriers (including 18 VLOCs) and two LR2 tankers, will be sold for between KRW400 billion (US$301 million) and KRW500 billion (US$376 million). HMM will be contributing KRW60 billion (US$45 million) and KOBC, KRW40bn (US$30.1 million).

The company’s net profit fell 32% year-on-year to US$92.54 million in 2022. While money-making, Polaris had weathered several crises that saw the company delaying its past attempts at an initial public offering, most notably the sinking of Stellar Daisy in March 2017 and the grounding of Stellar Banner in February 2020.

In August, Kim and Han were probed by the police over the transfer of some US$37 million from Polaris’ funds to Polar Energy & Marine, resulting in Seoul Metropolitan Police Agency’s Financial Crimes Investigation Unit raiding Polaris’ office, seizing financial reports and hard disks.

The money was moved as loans and management rights, according to the local media reports.

VICT handles largest boxship arriving in Australia



CMA CGM Pelleas is deployed on the A3C service, which starts and finishes in Taiwan after a round trip via China then on to Sydney, Melbourne and Brisbane.

Port of Melbourne's Victoria International Container Terminal (VICT) welcomes the 10,000 TEU container ship CMA CGM Pelleas.

VICT’s chief executive officer, Bruno Porchietto, says that super-sized vessels like CMA CGM Pelleas are likely to become more common at the VICT terminal. "There is a global trend by shipping lines toward the use of larger ships, which are more efficient due to their carrying capacity," commented Porchietto.

Meanwhile, VICT’s expansion project is making good progress following the recent arrival of two new quay cranes from China. The cranes are the largest in Australia and form part of a US$150 million expansion that will boost the Australian terminal's capacity up to 1.25 million TEUs when it is completed in late 2023.

VICT’s parent company, International Container Terminal Services, Inc. (ICTSI) has so far invested more than US$640 million in its Melbourne operations.

Hapag-Lloyd starts rollout of Starlink to its fleet

 

Following a successful pilot phase, German ocean carrier Hapag-Lloyd has decided to proceed with the rollout of Starlink satellite internet technology across its vessel fleet.

Since May, crew members aboard four pilot Hapag-Lloyd ships have had the opportunity to test the Starlink technology and the feedback from these trials has been very positive, according to Hapag-Lloyd.

In particular, at 350 meters in length, the container vessel is the largest ever to dock in an Australian port. The ship is nearly 43 meters wide.

"The high-speed satellite Internet has revolutionised communication for seafarers, enabling seamless video calls and streaming services," said the company in a statement.

The Starlink satellite network offers an impressive bandwidth of up to 250 megabits per second, facilitating private use and enabling Hapag-Lloyd to conduct remote maintenance and vessel inspections.

Hapag-Lloyd believes this innovation will result in cost savings and an increase in service quality.

The Hamburg-based shipping company noted that the next steps for the rollout of the free and fast Internet offer on board include completing the ordering of the technology and antenna installation by the end of the current year and the stepwise activation of the service on the company's ships, that is set to commence in early 2024.

Dr. Maximilian Rothkopf, COO at Hapag-Lloyd, commented, "We are very happy to provide our seafarers with Starlink's high-speed satellite internet and thus to enhance their well-being on board. But also for Fleet Management the change in communication and connectivity will be huge."

 

::                   Air Cargo News                ::

Air India targeting pharma trade with air freight fleet capacity set to quadruple


Tata Group-owned Air India – in the midst of a massive fleet expansion – is devising new strategies to grab a larger share of air cargo trade as the emerging economy concentrates on manufacturing.

The airline has some 470 aircraft from Airbus and Boeing on order, with deliveries mostly scheduled to begin in 2025, which it estimates would quadruple overall belly cargo capacity at full-scale operations. “The cargo division has made and is making several transformational changes to be more agile, responsive and integrated to the needs of the industry,” the carrier told The Loadstar.

“The planned changes encompass several strategic, tactical, technological and commercial aspects of the organisation.” And this accelerated growth programme has been two-pronged. Air India recently rolled out a bonded trucking solution to aggregate cargo from interior locations for connections out of Delhi, its busiest cargo hub.

The carrier said the road feeder network is already live on nine market points, such as Delhi-Mumbai, Delhi-Chennai, Delhi-Kolkata, Delhi-Bengaluru, Delhi-Hyderabad, Kochi-Chennai, Kochi-Bengaluru, Kochi-Hyderabad and Goa-Mumbai.

 

Speedcargo trials at Etihad show how AI can improve air cargo operations



Recent trials are leading to the wider adoption of AI-powered solutions to optimise air cargo services, despite a number of challenges that continue to persist. For both cargo operators and handlers, some of the areas of interest for potential deployment of AI include customs and compliance, route optimisation and inventory management.

Handlers are talking about AI-powered robots for example, that can help reduce turnaround times and labour costs by speeding up loading and unloading processes and improve cargo security with real-time monitoring of potential threats on the apron or warehouse.

 

Other trials have shown that AI-compatible chatbots and customer service systems can provide real-time updates to shippers and consignees, improving communication and customer satisfaction. A few months ago, Etihad Cargo announced plans to use AI to maximise cargo capacity on its flights.

This followed a proof-of-concept agreement in 2021 signed with Singapore-based tech-start-up company Speedcargo, to boost efficiency, digitise and standardise cargo handling across the airline’s network.


dnata gets IATA environmental management certification


dnata has become the first combined air services provider to receive the International Air Transport Association’ (IATA) environmental management certification as a recognition of its unwavering commitment to sustainability across its diverse portfolio of businesses in the United Arab Emirates (UAE).

IATA Environmental Assessment (IEnvA) is a certification programme developed to independently assess the commitment of aviation stakeholders such as airlines, airports, cargo handling facilities, freight forwarders, and ramp handlers, to continuously improve their environmental and sustainability performance.

IATA’s comprehensive evaluation encompassed 74 mandatory and all three optional modules, rigorously assessing dnata’s sustainability practices and efforts across its extensive operations in the UAE. In addition to its corporate Headquarters, ground handling and cargo businesses, dnata’s airport hospitality brand, marhaba, and inflight catering joint venture, Alpha Flight Services (Alpha), have also been certified through IEnvA’s hospitality module. DUBZ, dnata’s baggage technology and logistics company, also received the certification. This remarkable outcome attests to dnata’s commitment to maintaining the highest standards of sustainability.

dnata recently announced that it was on track to reduce its carbon footprint and waste to landfill by 20% by 2024 as part of its two-year green operations strategy. Previously, the company committed US$ 100 million to implement green technology and initiatives across its businesses to achieve its strategic objectives. The company’s recent key initiatives include continued significant investment in infrastructure, green ground support solutions and process improvement.


FedEx fights market weakness with continued cost cutting


Photo: FedEx

FedEx said it has continued to focus on cost saving initiatives in response to weak express demand as it reported revenue of $21.7bn in its first quarter 2024, ended August 31.

The company attributed a 19% improvement in reported net income to $1.1bn to its ‘DRIVE’ programme t0 improve operational efficiency and reduce expenses.

“First quarter results improved primarily due to the execution of the company’s DRIVE program initiatives and continued focus on revenue quality. The improvement in operating results was partially offset by ongoing demand weakness,” said the company.


First quarter 2024, ended August 31. Source: FedEx

Revenue at FedEx Express was down 9% year over year, but the division benefited from reduced operating expenses.  “Volume remained pressured though total Express volume declines moderated sequentially,” noted Brie Carere, executive vice president, chief customer officer.

FedEx Express operating income increased 18% during the quarter. “Cost reductions and transformation efforts at FedEx Express included structural flight reductions, alignment of staffing with volume levels, parking aircraft, and shifting to one delivery wave per day in the US, all of which more than offset the impact of lower revenue,” added John Dietrich, executive vice president, chief financial officer.

At FedEx Ground, first-quarter revenue was up 3% year over year driven by a 1% increase in volume and 3% increase in yield. 

FedEx Ground operating income increased 59% during the quarter, primarily due to yield improvement and cost reductions. Cost per package declined more than 2%, driven by lower line-haul expense and improved dock and first- and last-mile productivity.

“Across the Ground and Express, volumes improved sequentially, aided by the threat of a strike at our primary competitor. We onboarded new customers who valued our service and were committed to a long-term partnership with FedEx, explained Carere.

At FedEx Freight, revenue was down 16% driven by a 13% decline in volume, said FedEx. FedEx Freight operating income decreased 26% during the quarter driven by lower fuel surcharges and shipments, partially offset by base yield improvement. FedEx Freight completed the planned closure of 29 terminal locations during August.

“We started fiscal 2024 with strong momentum as our global transformation actions take hold and drive improved results,” said Raj Subramaniam, FedEx president and chief executive. “FedEx Ground had an outstanding quarter which, when combined with improved earnings at FedEx Express and expense controls across the organization, led to our better-than-expected overall financial performance. “FedEx is well-positioned to continue to deliver improved profitability while becoming an even more flexible, efficient and data-driven organization.”

Looking ahead, FedEx will continue to focus on consolidating FedEx Express, FedEx Ground, and FedEx Services into one company, ‘Federal Express Corporation’, by June next year.

 

Qatari Air Bridge planes arrive at Benina Airport, Libya with aid


The seventh and eighth Qatari planes from the Qatari Air Bridge arrived at Benina International Airport, Benghazi, on Sunday (Sept 24, 2023) to assist the people affected by floods and torrents east of Libya. The two planes carried 58 tonnes of humanitarian and relief assistance as an urgent response to the humanitarian situation in the areas affected by floods and torrents, bringing the total Qatari assistance to those affected to 267 tonnes.

The assistance included shelter essentials, electricity generators, foodstuff, as well as relief and medical items provided by the Standing Committee for Rescue and Relief Works and Humanitarian Aids for Afflicted Areas in Brotherly and Friendly Countries, Qatar Fund For Development (QFFD), Qatar Red Crescent Society, alongside Qatar Charity.  “The State of Qatar affirms its full solidarity with the State of Libya and in standing with its brotherly people in facing the disaster of floods and torrents,” reads the release.

Norse Atlantic Airways partners with WebCargo



Norse Atlantic Airways and WebCargo by Freightos, the leading air cargo booking platform, announced a partnership to offer the European-based carrier’s capacities from the biggest European Union cities for instant eBooking and payment on WebCargo. Norse Atlantic will open up real-time booking for WebCargo’s thousands of forwarders on its flights to and from Europe to seven destinations in the U.S. for technology, perishables, and other shipments, says a release from Freightos.

 

"Of note, for those forwarders booking to Latin America, Norse Atlantic operates out of Miami International, the gateway to South America." Also Read - Freightos Q22023 revenue down marginally Manel Galindo, CEO, WebCargo says: “We’re excited to play a supporting role in Norse Atlantic’s growth as their primary air cargo digital sales platform.

 

It’s a win-win for forwarders currently on WebCargo who will benefit from the increased cargo capacity, and the speed and flexibility of WebCargo’s unparalleled platform has the power to boost Norse’s cargo sales and brand growth."

 

Later this year, Norse plans to open capacity from London to Barbados and Jamaica, and from Oslo to Thailand, further expanding WebCargo’s footprint in Asia and the Caribbean, the release added.

 

Norse Atlantic exclusively operates Boeing 787 Dreamliners featuring innovative technologies that make them greener including 25 percent lower CO2 emissions and 50 percent quieter than the previous generation of aircraft, the release added.
 

IAG Cargo launches Constant Climate in Cincinnati


IAG Cargo, the cargo division of International Airlines Group (IAG), is announcing Cincinnati as its latest station in the United States to be approved to transport time and temperature-sensitive healthcare products. Bringing the total number of approved Constant Climate stations in the United States to 21.

This newly established station will facilitate the movement of pharmaceuticals that require precise time and temperature management between Cincinnati and London Heathrow. It will leverage IAG Cargo’s extensive network which links six continents to transport critical cargo such as vaccines, medicinal drugs and clinical trial medication around the world. This service will be of special interest to pharmaceutical customers located in Ireland and India whose life-saving medicines frequently transit through London-Heathrow to the United States.

Jordan Kohlbeck, Head of Pharmaceutical at IAG Cargo, added: “We are very excited about the opening of a new Constant Climate station at Cincinnati airport. The opening of Cincinnati will allow us to support more customers globally and provide another route by which they can utilise our cold chain solution to transport their key pharmaceuticals. We look forward to working with our partners and customers to increase our pharmaceutical offerings with this new addition.”

IAG Cargo’s Constant Climate product is a state-of-the-art cold chain solution that caters specifically to the transportation of pharmaceuticals, such as vaccines, biotech products, diagnostics samples, or any other temperature-sensitive pharmaceutical material. During the first half of 2023, Constant Climate, IAG Cargo’s cold chain product for transporting pharmaceutical products, experienced a 45 per cent increase in the volume of pharmaceuticals transported across its network compared to the previous year.

IAG Cargo’s new 10,000m2 facility New Premia at London Heathrow, launched in May 2023, features a cutting-edge Constant Climate Quality Centre (CCQC) for pharmaceuticals, with 27 dedicated cool cells and temperature facilities available from +2°C to +8°C (COL), +15°C to +25°C (CRT) and -20°C (FRO) ensuring sensitive shipments are held in a temperature-controlled environment at all times.

I reckon you have enjoyed reading the above useful information.

Have a nice day.

Thanks & kind regards

ROBERT SANDS, Joint Managing Director

Jupiter Sea & Air Services Pvt Ltd

Casa Blanca, 3rd Floor

11, Casa Major Road, Egmore

Chennai – 600 008. India.

GST Number : 33AAACJ2686E1ZS.

Tel : + 91 44 2819 0171 / 3734 / 4041

Fax : + 91 44 2819 0735

Mobile : + 91 98407 85202

E-mail : robert.sands@jupiterseaair.co.in

Website : www.jupiterseaair.com

Branches  : Chennai, Bangalore, Mumbai, Coimbatore, Tirupur and Tuticorin.

Associate Offices : New Delhi, Kolkatta, Cochin & Hyderabad.

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