News & Media

30 April, 2021

Australian Newsletter - Issue 676

IMO-GERMANY PROJECT TO CUT MARITIME TRANSPORT EMISSIONS IN ASIA
Source: Mirage News
IMO and Germany sign agreement to develop project to identify opportunities and solutions to prevent and reduce transport emissions. The International Maritime Organization (IMO) and the Federal Ministry for the Environment, Nature Conservation and Nuclear Safety of Germany (BMU) have signed an agreement to undertake the preparatory activities leading to the development of a project proposal to reduce maritime transport emissions in East and Southeast Asian countries. The project is supported through the International Climate Initiative (IKI) of BMU.  FULL STORY

HYDROGEN 101 WITH NOR-SHIPPING DETAILS MARITIME’S FUEL OF THE FUTURE
Source: Nor-Shipping (The Maritime Executive)
A growing array of ocean industry stakeholders are throwing their hats in the hydrogen ring, identifying the potential of a fuel that, they believe, could help industry, and society, move successfully towards our shared climate goals. With a breakthrough global conference on the horizon - Nor-Shipping Hydrogen Blue Talks – Fuelling the Future – leading experts gather in a virtual roundtable talk to deliver insights, intelligence and the latest news on innovations. The topics discussed here lay the foundations for the new online and physical conference, taking place as part of the Ocean Now initiative at Nor-Shipping’s Nova Studios in Lillestrøm, Norway, on 2 June.  FULL STORY

MAERSK EXPECTS CONTAINER SHIPPING MARKET SURGE TO CONTINUE INTO Q4
Source: Marcus Hand (Seatrade Maritime News)
AP Moller – Maersk forecasts that “exceptional market situation” in the container shipping market will continue well into the fourth quarter of this year. In a trading update for Q1 2021 Maersk significantly increased full year profit expectations as it reported strong preliminary earnings for the first quarter. The Danish shipping company reported revenues of $12.4bn for Q1 2021 with an EBITDA of $4bn and an underlying EBIT of $3.1bn for the three-month period.  FULL STORY 

SHIPOWNERS’ PAY CUT DEMANDS A ‘SLAP IN THE FACE’ FOR SEAFARERS
Source: Nautilus International
Nautilus International has condemned the refusal of shipowners to approve a standard pay uplift for seafarers as ‘disgraceful’. Seafarers’ unions took the extraordinary decision to shut down pay discussions at the International Labour Organization (ILO), after shipowners represented by the International Chamber of Shipping (ICS) demanded that the industry ditch the established practice of using objective ILO minimum wage calculations before they would approve any pay rise. The ILO Minimum Wage for Seafarers is a long-established mechanism to prevent seafarers worldwide from being exploited.  FULL STORY

CHINA’S IMPORTS OF COMMODITIES DRIVE A BOOM IN DRY-BULK SHIPPING
Source: International Shipping News (Hellenic Shipping News)
China’s surging imports of metals, grain and other commodities are providing a boost to a bulk-shipping sector at the center of global industrial production. Daily freight rates for capesize ships, the largest bulk carriers, jumped to an 18-month high this week at around $35,000 and the Baltic Dry Index, which tracks the cost of moving commodities by sea, pushed to a 10-year high of 2,808 on Monday. “It’s been a spectacular period, which is very much off-season,” said Peter Sand...  FULL STORY

GBS 2021: AUSTRALIA’S SHRINKING REFINING SECTOR PUTS VLSFO AT A PREMIUM
Source: Ian Taylor (Bunker Spot)
‘With the closure of much of Australia’s local refining capacity, coupled with the high cost of barging operations, marine gasoil (MGO) ex-truck sells at a significant discount to very low sulphur fuel (VLSFO)' in Australian ports, Sean Butler, Senior Bunker Trader with Dan-Bunkering (Australia), told Global Bunkering Summit delegates today. This, of course, inverts the price difference which applies in most of the world’s main bunkering ports – where VLSFO is significantly cheaper than MGO, but more expensive than high sulphur fuel oil (HSFO). On the plus side, Butler said that VLSFO is available at most of Australia’s main ports...  FULL STORY

IRON ORE ASCENDS TO RECORD HIGH
Source: Nickolas Zakharia (Australian Mining)
Global iron ore prices have reached their highest prices ever, rising to $US194.50 ($250.80) per tonne today (April 28). The spot price for iron ore has risen 21 per cent since the start of the year and 130 per cent in the past month. Wednesday’s price outdid the previous record high of $US187 per tonne from February 2011. Australia’s Minister for Resources, Water and Northern Australia Keith Pitt said the country’s iron ore production was a key contributor to the nation’s economy. “Australia’s resources sector and exports have underpinned our continued economic growth throughout the COVID-19 downturn,” Pitt said.  FULL STORY

GWR GROUP’S (ASX:GWR) THIRD IRON ORE SHIPMENT SETS SAIL
Source: Elise Kelly (The Market Herald)
GWR Group’s (GWR) third shipment of iron ore lump has departed the port of Geraldton, aboard the cargo ship MV Ballard. The third shipment carried 52,265 wet metric tonnes (WMT) of iron ore lump. Under the company’s offtake agreement with Hong Kong trader Pacific Minerals, GWR Group has now shipped a combined total of 156,068 tonnes of iron ore lump across three shipments. The company renegotiated certain terms of its offtake agreement with Pacific Minerals after the first two shipments were completed. As a result, the terms for subsequent shipments have improved, and allowed GWR to receive a greater portion of the lump premium available in the market.  FULL STORY

CANOLA RALLIES STRONGLY ON TIGHT SUPPLY
Source: Adrian Ladaniwsky (Mercado)
Canola prices have skyrocketed in the past month, both in Canada, and Europe. These elevated prices have also flowed through to domestic bids in the domestic Australian marketplace. From a Low of CAD $740 at the start of April, where liquidation occurred prior to the extended suspension of trading over Easter, Canada’s ICE Canola nearby futures contract prices has shot up 19% in less than a month to $882.90 CAD ($911 AUD). Similarly, Europe’s MATIF has shot up almost 20% to 591.5 Euro ($923.75 AUD). The climb in price has been relatively orderly over the last 24 days, gaining on average just under 1% a day. To put these prices into perspective, they currently reside outside of the 100th percentile, meaning record highs have been reached.  FULL STORY

VITERRA GAINS EXEMPTIONS FOR ADELAIDE PORTS
Source: Gregor Heard (North Queensland Register)
VITERRA will have its port operations in the Adelaide port zone exempted from the Federal Government's port access code for the first time. After a draft determination was handed down by the Australian Consumer and Competition Commission last year to allow Viterra exemptions for its Outer Harbor and Inner Harbour facilities at Port Adelaide, the finding was officially ratified this week. However, Viterra's applications to have its Wallaroo and Port Giles facilities on the Yorke Peninsula exempted were rejected. In a statement Viterra said while it was happy to receive exemptions in the Adelaide port zone it was disappointed with the findings regarding the Yorke Peninsula ports.  FULL STORY 

RIORDAN GRAIN CELEBRATES BULK EXPORT MILESTONE OF 1MT
Source: Grain Central
Riordan Grain Services yesterday loaded its one millionth tonne of export grain, a milestone that has coincided with the company’s 25th year of operation. The volume milestone has been achieved in the past four years, despite the challenges of drought and the COVID-19 pandemic. Riordan Grain has been exporting bulk grain from Geelong and Portland in Victoria since 2017. Prior to bulk exports, the company shipped grain in containers for around 17 years. Riordan Grain Services managing director, Jim Riordan, said these milestones would not be possible without the dedication of staff, family and friends, and the support of business, industry and community partners.  FULL STORY  

UNION CALLS FOR INVESTIGATION INTO INGE KOSAN’S MAN OVERBOARD
Source: Neil Breen (4BC News Talk)
The Maritime Union of Australia is calling for an investigation into a mystery plaguing the Inge Kosan. Inge Kosan docked on Queensland shores to receive medical treatment, after 11 of the 12 onboard tested positive for coronavirus.There was originally 13 crew members onboard, but the body of one was found washed ashore in Vanuatu. “We’re calling on Origin Energy to help with an investigation into the death of this crewman,” Mich-Elle Myers from the Maritime Union of Australia told Neil Breen.  FULL STORY 

POTENTIAL CORONAVIRUS EXPOSURE ON SECOND SHIP OFF QUEENSLAND
Source: Nathan Edwards (9 News)
Queensland Maritime authorities have revealed they are dealing with a second possible COVID-19 ship off the state's south-east coast. The revelation comes as Queensland recorded nine new COVID cases overnight, with seven of those on the Ing Kosan vessel. Maritime Safety Queensland General Manager Angus Mitchell said this afternoon they were dealing with two vessels currently anchored off Mooloolaba, the Inge Kosan tanker and the United Grace bulk carrier.  FULL STORY

PORT UNIONS DEMAND STRONGER PENALTIES FOR NEGLIGENT EMPLOYERS
Source: Scoop Media
New Zealand’s two port unions have spoken out on Workers Memorial Day (28 April), demanding improvements to health and safety in New Zealand ports. The Maritime Union of New Zealand (MUNZ) and Rail and Maritime Transport Union (RMTU) represent thousands of port workers throughout New Zealand. Leaders of the two unions say port workers are being killed and hurt due to systemic problems in the industry, and things have to change.  FULL STORY

GLOBAL SUPPLY ISSUES AND SHIPPING DELAYS HIT THE FAMILY CAT'S DINNER PLATE
Source: Debrin Foxcroft (Stuff.co.nz)
A global cat and dog food shortage is now being felt by local shoppers. Countdown spokeswoman Kiri Hannifin confirmed the retail chain was experiencing cat food shortages, with Mars-owned Whiskas particularly impacted. “The issue is both supply and shipping delays,” Hannifin said.  Whiskas NZ confirmed a nationwide shortage on its pouch varieties of cat food, in a statement on its website. A global pet food shortage is being felt in New Zealand. “We’re working really hard to get our usual stock levels back on shelf as soon as we can. In the meantime, we're sorry for any inconvenience this might cause...  FULL STORY

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