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Mega-Ships: They Can Work Efficiently

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Author(s): David Sanborn, Director of Business Development, Global Logistics Associates, Panama City, Panama

The advent of mega-ships has come about primarily as the result of improved slot cost economics. Being able to move more freight on cargo vessels that can operate with less fuel expenditure and lower operating cost per unit gives advantages to the shipper in better freight rates and to the shipping lines in less expense.

Competitive and marketplace realities result in such savings being passed along, at least in part, to the BCOs (Beneficial Cargo Owners) and ultimately to the consumer. While the consumer is not overly concerned with how all this happens, it takes a lot of effort to get this result.

Recently the performance of several cargo terminals has come under scrutiny because there have been a number of issues resulting in overly congested facilities slowing down and not being able to get the cargo or the vessels in and out of the terminals in a timely fashion. The terminals have improved their performance. However, the operators are taking too much credit for metrics that are derived from baselines, which are artificially low to begin with…

Featured in the Edition:

The Mega-Ship Issue

PTI Edition 69 • Digital & Print
Edition 69 of Port Technology has a special focus on shipping, with exclusive Q&A's with the world's top carriers, and insights into the shipping industry from analysts. Also featured are papers on areas such as port automation, LNG, security and the floundering dry bulk market.

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