Good news for FESCO

11/12/2012

Far Eastern Shipping Company (FESCO) says its international container trade is up 13%, compared with the first nine months of last year, on the back of strong demand on the trade between South East Asia and the Russian Federation.

The Russian container line’s international box trade reached 257,707teu in the year to 30 September, while box throughput at FESCO’s Vladivostok commercial sea port stood at 338,769teu, representing growth of 8%.

FESCO VP for corporate communications Stanislav Vartanyan said: “We view the results for the first nine months of 2012 very positively and we are continuing to see a strong demand growth for the integrated services we offer on the South-east Asia and Russia trade. 

“Services on this route are our flagship product, and demand is very high there, as shown by a high capacity utilisation on both our bi-lateral shipping lines and rail container trains,” he added.

In the reporting period, rail container transport amounted to 198,973teu, an 8% increase on the first nine months of 2011, while non-box rail freight stood at 18.5 mlllion tonnes, down 4% year-on-year.

Reefer cargo contributed another 35,917teu, a rise of 38%, while intermodal transport and freight forwarding grew 5% year-on-year to reach 151,193teu.

FESCO’s shortsea services mainly operate to/from Russia’s eastern seaboard ports (ie, intra-Asia), and between northern European ports and St Petersburg. 

Its cross-trade deepsea services were sold to Hamburg Süd in 2007, for which the company may well now be thankful, given the dismal state of the Asia-Europe trade.

Container Trades Statistics data, compiled from container lines’ own liftings, shows overall Asia-Europe box traffic dropped 1.7% to 1.1 million teu in September, the result of the lacklustre peak season.