REPORT: CONTAINER LINES TO TRIPLE PROFITS THIS YEAR

REPORT: CONTAINER LINES TO TRIPLE PROFITS THIS YEAR    Container shipping lines will triple their net profits on transpacific, Asia/Europe and transatlantic services to $1.9 billion this year, according to a report by Drewry Shipping Consultants.
   The net result compares to estimated industry profits of $570 million on the three main east/west trades in 1999.
   “The liner shipping industry will fare much better in 2000 than it did in many of the previous years,” the London-based consultancy firm said.
   Drewry predicts that collective carrier profits in the transpacific trade will amount to $1.4 billion this year, on revenues of $18.5 billion, as compared to profits of about $743 million on revenues of $15.5 billion in 1999.
   In the Asia/Europe trade, the consultant forecast net results of $521 million on revenues of $7.8 billion this year, compared to net profits of $27 million and revenues of $6.7 billion last year.
   On the transatlantic route, carriers are expected to post a small collective net deficit of $40 million this year, on revenues of $4 billion, as compared to a loss of $200 million on revenues of $3.7 billion last year.
   Carriers’ combined revenues on the three main east/west routes are forecast to increase by 17 percent this year, to $30.2 billion, from $25.8 billion in 1999.
   Drewry Shipping said that, for carriers, many of the north-south trades are also showing an improvement this year.