Mixed volumes for PSA

Singapore-based terminal operator saw growth overseas, but contraction at home in 2015.

PSA International has reported a modest year-on-year increase in annual container volumes which were up 2% to 64.1mteu.

But the Singapore-based terminal operator saw mixed fortunes in its two main markets with growth overseas, but contraction at home.

The company said domestic volumes were 30.6mteu, which marked an 8.7% decline on 2014. International volumes grew 5% to 33.5mteu.

“2015 was generally a tough year with weak trade growth reflecting unsteady global economic conditions,” said PSA group chief executive Tan Chong Meng.

“As such, we recorded lower overall throughput on a year-on-year basis, arising from volume reductions in a few of our terminals.

“Trade in the second half of the year was particularly lacklustre, and this added to the pressures

that were already building up due to structural shifts such as ship upsizing, sustained overcapacity, changes in liner alliancing, and the effect of prolonged lower oil prices.

“We have taken these business conditions in our stride, while focusing on improving our facilities and productivity.”

PSA operates around 40 terminals in 16 countries across Asia, Europe and the Americas with key operations in Singapore Antwerp.

The company recently announced that it it would put in more resources to help its customers through the current downturn.

“PSA is working with their customers to enhance vessel productivity at the port and optimise network planning activities such as service deployments and phasing in and out of vessels, with the aim of lowering their operational costs," it said.

“PSA is also actively engaging container lines which wish to establish a long-term strategic presence in the Port of Singapore.”