X

Sign up for Equitymaster's free daily newsletter, The 5 Minute WrapUp and get access to our latest Multibagger guide (2017 Edition) on picking money-making stocks.

This is an entirely free service. No payments are to be made.


Download Now Subscribe to our free daily e-letter, The 5 Minute WrapUp and get this complimentary report.
We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
A look at the shipping industry - I - Views on News from Equitymaster
 
 
  • PRINT
  • E-MAIL
  • FEEDBACK
  • A  A  A
  • Aug 25, 2008

    A look at the shipping industry - I

    The shipping industry handles 95% by volume and 70% by value of India's international trade. In order to understand this pivotal engine of economic growth and the companies operating in the sector, we shall look at the shipping industry from this article onwards.

    Classification
    The industry can be classified into wet bulk (tankers & offshore), dry bulk (classified into capacities) and liners (containers, MPP and Ro-Ros).

    Demand
    The tanker (wet bulk) segment is driven by oil demand in general. Specific factors include: Season (severity of winter), capacity utilisation of crude pipelines (pipelines are substitutes), crude inventory with refiners etc. The offshore (wet bulk) segment is also driven by long-term movements in oil demand and crude prices. Specific factors include: demand for exploration activities such as seismic services and drilling rigs.

    The dry bulk segment is influenced by the commodity demand- primarily iron ore and coal. In fact, it is now accepted that the dry bulk market is driven by demand in China and India. China imports its raw materials mainly from Australia and Indonesia. All short-term demand increase in iron ore is met by India. The most logical alternative to these sources for China is South America, which massively changes the tonne-mile scenario.

    Supply
    The changes in the availability of vessels largely determine the degree of competition within the global shipping industry. Supply is a function of age of fleets, price of steel, regulatory issues such as phasing out of single hull carriers etc.

    We shall continue our study of the shipping industry in the next article.

     

     

    Equitymaster requests your view! Post a comment on "A look at the shipping industry - I". Click here!

    1 Responses to "A look at the shipping industry - I"

    jilu

    May 27, 2011

    it is better to add company details

    Like 
      
    Equitymaster requests your view! Post a comment on "A look at the shipping industry - I". Click here!
     

    More Views on News

    G E Shipping: Feeling Pressure From the Offshore Segment (Quarterly Results Update - Detailed)

    Aug 18, 2017

    GE Shipping reported a subdued performance on the back weak offshore segment.

    G E Shipping: A Bad Quarter (Quarterly Results Update - Detailed)

    May 9, 2017

    GE shipping registered a loss in 4QFY17 due to weak global shipping market and lower crude prices which negatively impacted the offshore segment.

    Cochin Shipyard Limited (IPO)

    Aug 1, 2017

    Should you subscribe to the IPO of Cochin Shipyard Ltd?

    More Views on News

    Most Popular

    A 'Backdoor' to Multibaggers: It's Like Investing in Asian Paints Ten Years Ago(The 5 Minute Wrapup)

    Aug 10, 2017

    Don't miss these proxy bets on growing companies or in a few years you will be looking back with regret.

    The Most Important Innovation in Finance Since Gold Coins(Vivek Kaul's Diary)

    Aug 10, 2017

    Bill connects the dots...between money and growth, real money and real resources, gold and cryptocurrencies...and between gold, cryptocurrencies, and time.

    Signs of Life in the India VIX(Daily Profit Hunter)

    Aug 12, 2017

    The India VIX is up 36% in the last week. Fear has gone up but is still low by historical standards.

    Bitcoin Continues Stellar Rise(Chart Of The Day)

    Aug 10, 2017

    Bitcoin hits an all-time high, is there more upside left?

    5 Steps To Become Financially Independent(Outside View)

    Aug 16, 2017

    Ensure your financial Independence, and pledge to start the journey towards financial freedom today!

    More
    Copyright © Equitymaster Agora Research Private Limited. All rights reserved.
    Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

    LEGAL DISCLAIMER: Equitymaster Agora Research Private Limited (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA or Canada, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.

    SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

    Equitymaster Agora Research Private Limited. 103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
    Telephone: +91-22-61434055. Fax: +91-22-22028550. Email: info@equitymaster.com. Website: www.equitymaster.com. CIN:U74999MH2007PTC175407
     

    Become A Smarter Investor In
    Just 5 Minutes

    Multibagger Stocks Guide 2017
    Get our special report, Multibagger Stocks Guide (2017 Edition) Now!
    We will never sell or rent your email id.
    Please read our Terms

    BHARATI DEFENCE AND INFRA SHARE PRICE


    Aug 22, 2017 (Close)

    TRACK BHARATI DEFENCE AND INFRA

    • Track your investment in BHARATI DEFENCE AND INFRA with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
    • Add To MyStocks

    MORE ON BHARATI DEFENCE AND INFRA

    BHARATI DEFENCE AND INFRA 8-QTR ANALYSIS

    Detailed Quarterly Results With Charts

    COMPARE BHARATI DEFENCE AND INFRA WITH

    MARKET STATS