[EN-SEA] ESC's New Maritime Council Chief Slams Slow Steaming

JEAN Louis Cambon, European Shippers' Council's new Maritime Transport Council chief, rebuked carriers for capacity cuts and slow steaming in his inaugural address on taking up his new post.

"This has to be one of the few sectors that believes it can reduce quality while increasing prices and expect customers to blame it on carriers' misfortunes," he said.

"Carriers must understand that by restraining capacity, they encourage an increasing number of shippers to shorten supply-chains and shift sourcing closer to consumption markets," he said.

Mr Cambon, also head of Michelin's ocean management committee, also warned against excessive slow-steaming that could disrupt supply chains by "lengthening lead-times, increasing inventory costs, disorganising transhipment patterns, and making changes to schedules and port rotations with little or no warning."

Carriers, he said, should pay more attention to their customer needs and take the time to learn about their businesses. That way, he added, they "might focus less on chasing market share, over-ordering new ships and selling rates, and focus more on identifying and delivering the right services and improved service quality."

Source : HKSG, 19.03.10.