According to the document, the Shipping Corp. of India (SCI) “is on the brink of financial collapse” and its plans to acquire 33 vessels would lead to a “debt-trap, almost on the lines of Air India.”
The country’s state-owned airline has struggled under the weight of a massive book of plane orders, and the document indicated SCI’s plans to acquire new vessels would put it “in the red from this year onwards.”
The document also indicated SCI’s board has enacted a ban on further orders, with only 10 of the 33 vessels financed.
SCI is a diversified carrier with a relatively small liner fleet. It’s the 41st largest container line, according to maritime consultant Alphaliner, with a fleet of 10 vessels with total capacity of 30,907 TEUs.
