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Container cargo rollovers up at major transhipment ports

Photo: Ningbo - Zhoushan ningbo-zhoushan port 07.jpg
As container lines struggle with equipment shortages and high demand on major trade lanes the rollover ratio at major transhipment ports increased to 28.5% last month according to Ocean Insights.

According to data analysed by Ocean Insights the rollover ratio for major ports stood at 28.5% in October this year, up from 26.9% in September, and 22.2% in the same month a year earlier.

One of the highest levels of rollovers was seen at Ningbo-Zhoushan, the world’s third largest container port. In October 43.5% of container cargo was rolled over compared to 30.1% in October.

The world’s largest transhipment hub, Singapore, saw rollover increase to 31.1% in October, up 30.2% in September according to Ocean Insights. By comparison Singapore’s rollover ratio was 21.6% in October 2019.

The neighbouring port of Tanjung Pelepas in Malaysia saw its rollover ratio increase to 24.6% in October from 22.7% in September.

Although the average among major transhipment hubs was higher some did see improvements last month. Dubai’s Jebel Ali Port saw a rollover ratio of 27.6% in October, compared to 31.8% in September. Meanwhile Busan Port in South Korea saw rollovers drop to 27.1% last month from 30.4% in September.

“This is supposed to be container shipping’s seasonal lull after the summer peak season, but on some trade lanes freight rates are near record levels and ships are still departing Asia full,” said Josh Brazil, coo of Ocean insights.

“Container lines are trying their best to cope with critical box shortages in Asia but this is putting more pressure on operations and freight rates. Carriers also no longer have the option of adding more vessels to boost capacity - almost the entire global fleet is currently active.

"I think what we are seeing is that the cargo pipeline has maxed out ocean supply chain capacity and this is being reflected in heightened rollover levels which translates into more disruption for shippers and forwarders."

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