MOL plans to add 60 dry bulk vessels

MOL plans to add 60 dry bulk vessels Mitsui O.S.K. Lines, Ltd. plans to nearly double its dry bulkship fleet — adding 60 vessels from April through the first half of 2012.
   While the company will dispose of some ships during the next five years, it expects its dry bulk fleet of 70 handy, handymax and panamax dry bulkers, will balloon to 110 vessels by March 31, 2013.
   The company said its midterm management plan calls for a concentration of management resources on growing fields in the ocean shipping industry. Ocean cargo trade in dry bulk cargo is expected to grow about 3 percent growth annually, and as trade diversifies, MOL notes “cargo will have to be transported longer distances.”
   “In addition, efforts to eliminate aging vessels will rapidly accelerate, the company predicted.
   There will be “rapid expansion of domestic coastal transport in China and India, which is forecast to grow by 15 percent every year, particularly in coal and grain,” said MOL.
   “In light of these conditions,” MOL said it expected “a firm supply and demand situation for bulk carriers, and decided on this fleet expansion initiative.”
   The company plans to add 20 small handy vessels with carrying capacity of 24,000 to 37,000 deadweight tons, 35 handymax ships of 50,000-58,000 dwt, and five panamax ships with 76,000-82,000 dwt capacities.
   MOL notes that there are about 2,700 small handy bulkers and 1,500 handymax vessels around the world. More than half of the small handy vessels and more than 20 percent of the handymax ships are more than 20 years old.