SEABORNE PRODUCTS TRADE SEEN INCREASING SHARPLY IN 1990-93

Drewry Shipping Consultants Ltd. predicts a 25% growth in world trade in refined products during 1990-93, with a resulting increase in demand for products tankers. Expansion well in excess of crude oil trade growth reflects the continued rise in refining capacity in oil exporting regions such as the Middle East and Africa. Seaborne trade in the main petroleum products rose by more than 5% in 1988 to 294.4 million tons. Shipments from the Middle East increased by more than 15 million metric

March 26, 1990

2 min read

Drewry Shipping Consultants Ltd. predicts a 25% growth in world trade in refined products during 1990-93, with a resulting increase in demand for products tankers.

Expansion well in excess of crude oil trade growth reflects the continued rise in refining capacity in oil exporting regions such as the Middle East and Africa.

Seaborne trade in the main petroleum products rose by more than 5% in 1988 to 294.4 million tons. Shipments from the Middle East increased by more than 15 million metric tons to 77 million metric tons, or nearly 30% of all interregional trade.

Exports from the U.S.S.R. and eastern Europe showed no growth, but the Caribbean saw a modest reversal of a decline that had been under way since 1984.

Imports by the U.S. and Japan showed significant gains. However, the biggest increase was in South and Southeast Asia.

Rising demand for products tankers will stem from longer voyages, as well as increased trade volumes.

Drewry said employment outlook is good for all sizes of such vessels, but it is especially good for larger products tankers of 60,000-80,000 dwt. That's because of the growing importance of large volume, long haul vessels carrying cargoes from the Middle East.