The Suez Canal Authority has recently made an announcement stating that if the Suez Canal is to boost its revenue, it will require new customers in countries highly exposed to oil prices, a less cyclical business unit as well as more tug boats, according to Shipping Watch.
It was previously reported by PTI that the Suez Canal could also see its volumes dip if carriers continue to take the southern African Cape of Good Hope route.
Carriers have been taking this route as a solution for overcapacity along the Panama and Suez Canals.
Technical Paper: The Infinite Possibilities of the Suez Canal
This follows news that the Suez Canal’s volumes had dipped by more than 5%, despite the completion of its multi-billion expansion programme in mid-2015.
However, Suez, with the rest of the world, is enduring a slump in trade levels.
Despite this, the canal could be set to reap the benefits of the recent Iranian sanction-lift as it will help to facilitate the transport of oil to around 60 countries and essentially help to reinvigorate energy trade.