Ship operating costs moderating but inflationary risks lurk.

Byline: S. Kamal Hayder Kazmi

Vessel operating cost inflation has slowed this year as some Covid-19 related expenses unwound and high vessel earnings encouraged some owners to postpone non-essential maintenance work, but wider macroeconomic developments are raising inflationary risks as will decarbonisation initiatives, according to the latest Ship Operating Costs Annual Review and Forecast 2021/22 report published by global shipping consultancy Drewry. Drewry estimates that average daily operating costs across the 47 different ship types and sizes covered in the report rose 0.7 percent in 2021, which represented a sharp slowdown from the increase of 4.4 percent recorded in 2020 when opex rose at its...