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Posted on April 9, 2009

Big shippers are looking for stability above cheap rates, judging by the opinions expressed at last week’s Global Liner Shipping conference in London.  Freight buyers are worried that shipping lines will withdraw ships from services in order to reduce their costs – this means that shippers are left with fewer options to move their cargo, thus endangering their supply lines.  Freight rates are currently very low, but this means that shipping lines are not investing in equipment, which will eventually result in poorer service levels.  It is thought that none of the major shipping lines will go bankrupt, but they need the support of their customers to push freight rates back up.

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