Ports and Shipping.

• Position: India's freight subsidy for transportation of fertilizers, Asia's 380-cst high-sulphur fuel oil, greek ship finance sector

WORLDWIDE SHIPPING INDUSTRY

India's fertiliser movement now eligible for subsidy

A policy for reimbursement of freight subsidy for transportation of fertilisers through the coastal shipping route has been approved. Earlier, this financial support was available only for fertiliser movement via railways. The move by the Department of Fertilisers means reduction in freight by about 40 per cent. Experts believe the move will help in significant reduction in cost of transportation, time and is environment friendly. According to industry figures, about 24.2 million tonnes (mt) of urea and 25 mt of other fertilisers (phosphatic and potassium) were transported in the country in 2017-18. The shipping ministry is estimating movement of about 9-10 million tonnes of fertiliser through coastal and inland waterways a year by 2025, which could save around Rs 900-1,000 crore per annum in freight cost.

Asia 380-CST time spread hits near 7-month high

Asia's 380-cst high-sulphur fuel oil (HSFO) front-month time spread hit a near seven-month high on Wednesday as tightening arbitrage flows into the Singapore trading and storage hub squeezed the near-term supply outlook, trade sources said. The July/August 380-cst time-spread widened its backwardated structure to $11 a tonne on Wednesday, up from $9.75 a tonne in the previous session and its highest since Nov. 29, Refinitiv Eikon data showed. In the physical market, 380-cst HSFO cash premiums also hit a more than six-month high on Wednesday after rising 16 cents per tonne from the previous session to $5.03 per tonne to Singapore quotes.

Banks feel the heat from Asian leasing in financing greek shipowners

Last year was one of contrasts for the ship finance sector as the once dominating German ship finance market continued to contract with few banks remaining committed to shipping, while the competition from Chinese leasing continued to rise when it came to financing the key Greek shipping market. In its 18th annual survey of the Greek ship finance market, Petrofin Bank Research, reports a slight decrease in bank lending to Greek shipping with the total portfolio at $53.18bn at the start of 2019, just over 1% down on12 months earlier reversing a heavy declining trend. The Far East and North American share of the Greek market continues to rise, though failing to fully counterbalance the decline of German and UK banks.

Asian shipowners maintain heightened security levels on Middle East transits

Asian tanker and LNG...