Cruising boom good news for Singapore

More ships operating in Asia will need routine maintenance and major refitsSOME 20 years ago, when Star Cruises bought its first two ships, there was great scepticism about the viability of the operation.儲存 The doubters were soon proved wrong. Before too long, reporters from around Asia were flown out to Germany to witness the naming of the company's first newbuilding. I still have a model of the Star Leo in my office.Star and the other big cruise companies (notably, of course, Carnival) have turned the cruise business into a sector that seems to defy the cyclical nature of the rest of shipping.That seems to have held good during the economic turbulence of the past few years, despite the Costa Concordia sinking and the accompanying very adverse publicity.Now UK-based Ocean Shipping Consultants (OSC) reports that, despite some challenges facing the cruise industry in the past 2-3 years, and the challenging situation facing the shipping industry overall, the cruise sector is enjoying rapid growth that is seeing dramatic changes shaping the profile of the industry.In a new report, World Cruise Ports and Shipping to 2025, OSC says it expects global demand for cruising to grow strongly. It notes that new cruise terminals are being developed and cruise lines are introducing significant changes in the deployment of their capacity.OSC predicts that the equivalent of a total of 161 new vessels of an average 2,500-berth capacity will be required, in the years up to 2025. This is based on anticipated cruise passenger number growth worldwide of 68 per cent, from an estimated 21.7 million in 2013 to 36.4 million by 2025, though OSC also makes the point that average new vessel size continues to increase.Vessel replacementActually, more ships will be needed because even cruise ships do not last forever. OSC says that the current seagoing cruise fleet has an average age of 20 years; and there are 47 ships that are over 40 years. So, as OSC notes: "This presents a potentially significant source of demand for vessel replacement or repair in the coming years."I know where a significant number of old passenger ships can be found still working, although I am not sure whether they are included in OSC's statistics. Some veteran passenger ships ca迷你倉 be seen in Hong Kong's anchorages, specialising in short trips for gamblers.The chances are that some of the smaller older cruise ships discarded by the big players will find their way to this fleet. Incidentally, these old ships look well maintained, meaning that some repair yards must be getting their business.That brings me to Singapore. OSC says that, with changing patterns of vessel deployment, the significance of the world's main cruise ship repair yards is also changing, and set for further development through the next decade. For example, it notes, the capacity deployed in Asia Pacific by major lines increased more than five-fold from 2003-2013, in comparison to just 36 per cent expansion in the Caribbean.In other words, there are going to be more cruise ships operating in Asia that will need both routine maintenance and major refits.Another development that is expected to spur ship upgrading work are the new emission controls. OSC says: "Following the revised MARPOL regulations in 2010, all cruise ships berthing at or sailing in European and United States coastal waters will have to comply with the restrictions of the emission control areas (ECAs). This can be achieved through the installation of various scrubber systems at either the newbuilding stage or as a retro-fit. The implication is for more work for suitable (in terms of expertise and location) cruise repair yards."Emission controlsIn fact, Hong Kong is bringing in emission controls now, and over the next decade passenger ships operating in Asia will increasingly come under the same pressure as those in North American and European waters.Even without the bonus of environmental refits, the existence of a large cruising fleet means a lot of work for repair yards, busy cruise terminals and a large source of seagoing employment.The cruise sector has proved very resilient to challenges while the public, its customers, seem impervious to any worries about safety following high-profile incidents. That should not be taken as providing room for complacency; there are serious issues to address regarding the evacuation of very large cruise ships. Nevertheless, the cruising business is one part of the shipping industry that is doing well, and we should celebrate that.self storage