Consultant: Banks to Exert More Control Over Shipping

Business development and shipping consulting company Moore Stephens International recently reported that banks will exert more control over the shipping industry in 2013, as vessel values fall further and the cost of regulatory compliance increases.

“Like a commuter facing another increase in rail fares, and no extra money coming in, shipping will most likely have to absorb the costs of more expensive fuel, more costly labor and dearer raw materials on the backs of declining freight income,” said Julian Wilkinson, Moore Stephens partner, in a written statement.

This year will also see continued efforts to accelerate scrapping, Wilkinson said. He also noted that now remains a good time to buy for those with cash and a following wind.