Thu | Feb 2, 2023

Shipping Industry: The year that was (Part 2)

Published:Tuesday | January 17, 2023 | 12:12 AM
Passengers arrive at the Ocho Rios Cruise Ship Terminal on the ‘Carnival Sunrise’ following the reopening of the cruise industry in August 2021.
Passengers arrive at the Ocho Rios Cruise Ship Terminal on the ‘Carnival Sunrise’ following the reopening of the cruise industry in August 2021.

This is the second of a two-part series reviewing the past year’s impact on the shipping industry.

The year 2022 was an extraordinary period for the shipping and logistics industry, but that term was also used to describe the two years preceding it. The common factor among all three was the COVID-19 pandemic, which placed massive strain on the sector globally through supply chain issues, labour shortages, travel restrictions, port logjams, and more.

As the industry optimistically looks towards a less tumultuous year, we look back at the events which characterised the industry and shaped the year that was.

CRUISE SHIPPING REBOUNDS

With the waning effects of the pandemic on the cruise shipping industry, Jamaica began to experience a marked increase in the number of arrivals, particularly during the winter tourist season which began on December 15, 2022. The industry’s recovery is being touted as some 524,000 cruise arrivals and US$51.9 million in earnings are projected for the current winter season, compared to 146,700 arrivals and US$14 million earned for the same period in the previous year.

SAJ PROMOTES TRAINING DEVELOPMENT

The Shipping Association of Jamaica (SAJ) offered numerous training programmes in support of its thrust to enable the holistic development of the shipping and logistics sector, allied industries, and their workers last year. The sessions comprised both technical and soft skills and included instruction on hazardous materials; occupational health and safety; project management; Microsoft Excel; public speaking and presentation skills; and the Sexual Harassment Act, 2021. Approximately 200 participants were trained and certified by subject experts and institutions, including the Caribbean Maritime University and Management Institute for National Development.

ADVANCEMENT THROUGH COLLABORATION

The SAJ met with several delegations for opportunities on collaboration last year. Among its high-profile meetings were discussions with a contingent from Barbados on the development of its Port Community System and dialogue with a Bahamian delegation on the establishment of bilateral relationships. The SAJ also facilitated meetings with the representatives of the United Kingston and Canada in Jamaica on matters related to trade and decarbonisation, among others.

IMO LAUNCHES DECARBONISATION MEASURES

The International Maritime Organization’s (IMO) amendments to its carbon intensity measures were entered into force on November 1, 2022. The technical and operational adjustments were introduced as part of the IMO’s requirements for ships to improve their energy efficiency in the short term to reduce their greenhouse gas emissions. The actions lead the body’s decarbonisation efforts, which introduced a mandatory requirement for all ships to measure their energy efficiency and to begin the collection of data to report their annual operational carbon intensity indicator (CII) and CII rating on January 1, 2023.

EVER FORWARD RUNS AGROUND

The Ever Forward container ship ran aground in Chesapeake Bay, Maryland, in the United States in March 2022, almost a year after its sister ship Ever Given blocked the Suez Canal in Egypt, causing major disruption to global trade.

Fortunately, the 1,096-foot Ever Forward was stranded outside major shipping corridors, averting a widescale logistics crisis. Five hundred containers, roughly 10 per cent of the ship’s cargo, were removed, using crane barges, before it could be refloated over a month after becoming stuck.