Specialized reefer fleet shrinking says report

Specialized reefer fleet shrinking says report The continued containerization of refrigerated goods will reduce the world's specialized reefer fleet as global trade is expected to grow 3.7 percent annually to reach 156.2 million tons in 2015, according to a new report by Drewry Shipping Consultants.
   The report, Annual Reefer Shipping Market Review and Forecast 2007-2008, compiled in conjunction with Sextant Consultancy Ltd., shows that the global reefer trade has grown 50 percent from 72.2 million tons in 1994 to 108.6 million tons in 2005.
   The increase has come despite a decline in the number of specialized reefer vessels (or vessels greater than 100,000 cubic feet). Their numbers dropped from 880 vessels at the start of 1999 to 791 ships on Jan. 1 2006, providing 291 million cubic feet of under-deck capacity equaling 22 percent of overall reefer capacity.
   Conversely, the container fleet has increased significantly to about 3,600 vessels during the same point. The existing container fleet provides 1.05 million TEUs of reefer capacity, offering about 1,052 million cubic feet of reefer capacity, Drewry said.
   'Cargo volumes are forecast to increase, and while this will inevitably lead to a reduction in market share for the specialized reefer vessels, it may not result in a reduction in actual tonnage carried by the specialized reefer fleet,' Drewry said.
   'Despite successful efforts to consolidate and cut costs, future initiatives are crucial to the survival of this market. The specialized reefer industry needs to focus on alternate ways of ensuring its longevity to maintain healthy competition in the reefer market.'