Few in middle ground

Friday, 08 February 2008

THE southeast Asia trade lane continued to display a real mixture of the good and the bad in performance terms during the 20-week monitoring window used in this survey – but with even less in the middle ground.

The polarisation in schedule reliability was remarkable, with 16 of the monitored operations turning in good or reasonable results (an average of under one calendar day behind published ETAs), and 11 poor ones. Only two of the latter managed an average of under two calendar days late.

The differences in the results are puzzling, as all have been exposed to the same problems, with much-increased volumes and the occasional bout of very bad weather affecting terminal operations, particularly in the UK and north continent.

Increasingly, lines have been adding a day to their round-voyage times, but this only affected a small proportion of operations in the June-November period, and those which had already added a week to their schedules fared no better on average than others.

Hopefully, as high bunker prices persuade more carriers to add that extra week to their operations there will be some improvement, but this outcome is by no means certain.

Looking at the window used for this survey, it might be concluded that only one of those 11 operations with a poor standard of schedule reliability could be considered to be unlucky, and that is the Yangming/“K” Line AE1/AES1. Engine repairs to the recently-built Hannover Bridge put this vessel well behind schedule, giving 19-day maximum days late at Singapore on a subsequent voyage.

Oddly enough, the operation that was revamped to form the AE1/AES suffered a similar problem the previous year, as described in last year’s southeast Asia Liner Analysis.

In common with many lines, both of the “K” Line/Yangming operations were hit by delays at the European end, with the discharging/loading cycle usually taking at least a day longer than scheduled. 

While this is the primary excuse for poor schedule-keeping in the trade, it is interesting that some lines have managed to cope far better than others.

Trying to remain positive, the focus in this round-up is on the better-performing operations, including a handful that might be classified as ‘reasonable’. These included last year’s winner UASC and three of the four New World Alliance loops, which all occupied the 0.50-1.00 days-late band. 

Just above these were CSAV Norasia’s ANE, and the string run jointly by CMA CGM and China Shipping (CSCL) - the FAL2/AEX7 -  both of which call at Port Klang. These in turn came in just behind the Hanjin-operated Loop2/AEX and Loop 3/FEX (calling respectively at Port Klang and Singapore) and the Maersk Line AE8 (calling both ports).

This leaves six operations that were particularly impressive, of which four could boast clean sheets. In the case of the Maersk Line AE1 and the New World Alliance AEX (operated by Hyundai Merchant Marine) to Singapore, this was a repeat performance of last year – a record of which these carriers can be justly proud.

The two other spotless operations were the Evergreen CES at Tanjung Pelepas, and Maersk’s AE7 at the same port – although the latter did skip two calls – while the Evergreen CEM and the Cosco-operated Loop 1/NCX had only slightly blemished averages.

 The choice of Star Performer is a difficult one, but must be based on the average for all loops operated by a line or grouping, and the averages of the highest-ranking operators are as follows:
• The New World Alliance (APL, HMM, MOL): average 0.4875 days behind schedule at Singapore.
• Maersk Line (including AE9 at Laem Chabang): average 0.164 days, not allowing for the by-passing of Tanjung Pelepas on two occasions and of Laem Chabang once.
• Evergreen: average 0.025 days at Tanjung Pelepas.

This means that Evergreen has to be declared this year’s Star Performer for schedule reliability to southeast Asia, with Maersk Line being highly commended.

There has also been mixed progress in the transit times department, with an overall increase in average times from the UK to Singapore, but some better times to Port Klang.

In the latter case, the remodelling of the NCX as the FAL3, involving the switch of Southampton from first to last north European loading port, has given CMA CGM and its co-loaders far faster times from the UK to the Malaysian port. At the same time, Grand Alliance times to Port Klang on the EU3 from the same UK gateway are a day shorter.

However, it is Maersk Line that has gained the real edge here, thanks to last year’s revamp of its AE8 string. It still provides the fastest time from the UK with a scheduled time of 17 days from Southampton, although it is expected to ditch this advantage in the coming overhaul of its network.

To Singapore, two of the fastest links from the UK have been lost with the axing of Southampton from a couple of loops. These are the New World Alliance JEX (although the grouping can still offer a 17-day time from Thamesport on the AEX), and the Grand Alliance EU4.

The fastest times from the UK to Singapore – 17/18 days – are now provided by the New World Alliance AEX, the Maersk Line AE8, and three of the CKYH grouping’s strings – the Hanjin-run Loop3/FEX, and the two operated by “K” Line/Yangming loops.

While this might indicate an advantage for the CKYH partnership, an averaging of times at all three base ports for all operations with direct UK calls puts the grouping in second place ¬– slightly ahead of the New World Alliance, but a fraction behind Maersk Line. The latter thus has to be declared this year’s Star Performer in the UK transit time category.