Maersk forecasts 50% drop in demand growth on Asia-Africa corridor for shipments of rice, palm oil as African inventories remain plentiful from last year's restocking activities
February 8, 2012
– Maersk Line said it is expecting a 50% drop in growth demand for Asian shipments of rice and palm oil to Africa in 2012 as inventories in West Africa are plentiful after significant restocking activity last year, FoxBusiness.com reported Feb. 8, citing a Maersk director.
In 2011, the Copenhagen, Denmark-based container line saw growth of 20%-25% in that corridor, according to Sonny Dahl, an official with the company. Demand for soft commodities was strong in Africa, particularly in June as many Muslim countries on the continent were eager to build inventories ahead of Ramadan, Dahl said. Maersk also benefited from more cargoes moving via container ships than bulk ship due to higher fuel costs make container ships a more appealing alternative.
The primary source of this article is FoxBusiness.com, Feb. 8, 2012.