Market Trends of Asia-Pacific Shipping Agency Services Industry
This section covers the major market trends shaping the APAC Shipping Agency Services Market according to our research experts:
China to Dominate the Asia-Pacific Shipping Agency Services Market
142.3 million TEU were transported through Chinese ports in the first half of 2022, a rise of 3% year over year. Chinese ports handled 7580 million tons of cargo during the same time frame, a small decline of 0.8% compared to the previous year. The port of Shanghai experienced the highest amount of traffic, moving 3.79 million TEU in June, even though this represents a decline of 9.5% from the previous year.
The harbor of Ningbo-Zhoushan had the second-best performance, moving 3.16 million TEU in total in June, up 17.9% year over year. As shipping demand fell on the Ningbo Zhoushan Port-West Coast of North America path, the Ningbo Container Freight Index (NCFI)'s average value fell by 5.9 percent in July compared to last month. Over the first five months of 2022, Chinese ports reported an increase in container volumes, reaching 116.5 million TEU, a 2.3 percent year-over-year increase.
Ensuring a berth for the incoming ship, drawing up the documents for the customs and harbor services, arranging for the necessary ship fresh water/provisions, arranging for necessary repairs, conveying instructions to and from the ship owner, organizing the supply, transport, and the handling of the goods, collecting freights, cargoes, contacting shippers and the receivers of the goods all these tasks are carried out by shipping agency only. Hence the demand for shipping agency services is increased.
Since China began to reform and open up its economy over the last three decades, the nation's ports have expanded substantially and served as key nodes in the global transportation network. Driven by the Belt and Road Initiative (BRI), announced in 2013, to boost China's International investment and trade cooperation, ports have become strategic hubs for the 21st Century Maritime Silk Road (or One Road). Significant funds have been invested in transport and logistics sectors, such as advancing port infrastructures, strengthening cooperation between ports, increasing shipping routes and maritime logistics, as well as providing access to intermodal water and land transport corridors. Correspondingly, China's ports and shipping industry have increased their capacity, operating performance, and competitiveness.
Therefore, owing to the above points, China is expected to dominate the Asia-Pacific shipping agency services market during the period studied.
An Increase in the APAC Container Throughput Drives the Shipping Agency Services Market
Global container throughput is projected to keep increasing during the forecast period. In 2022, some 553 million TEUs worth of containers were processed in the Asia-Pacific region, accounting for about 60 percent of global throughput.
Containerized cargo throughput is counted as the movement of containerized cargo from the vessel to an inland carrier or from an inland carrier to the vessel.
The shipping agency is often referred to as the port agency or port agent and carries out the following booking of vessels in and out of the port, and arranges the pilot and tugboat services, submitting information on the crew and any passengers to the local immigration authorities, completion of all relevant vessel clearance documentation, advising Customs of the ship's arrival and reporting the cargo on board, supervision of loading and discharging of cargo and the safe handling of containers, break-bulk and bulk liquids, handling ship services including fuel, repairs, and maintenance.
Moreover, shipping agents can help arrange for the transport of products from the supplier to the customer. Customs clearance is an important step in importing or exporting products. Shipping agents can help ensure that the products arrive without delays or complications related to customs regulations.
All these activities have been increased at the port. So these factors boost the demand for the shipping agency services market in the Asia-Pacific region.
