
TODAY’S BULLETIN OF MARITIME NEWS
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- First View : MSC POSITANO
- South Africa’s Medium Term Budget — tough times ahead
- A statement from the Secretary-General of IMO
- UNCTAD Seaborne trade 2017
- Greenpeace’s Esperanza joins campaign to save Congo Basin forest
- Algerian Navy takes delivery of sail training ship El-Mellah
- NSRI Mossel Bay involved in medivac of ill man from SA Agulhas
- Norwegian Jewel to spend 2018/2019 season in Australia & New Zealand
- Expected Ship Arrivals and Ships in Port
- Cruise News and Naval Activities
- Pics of the Day : TINA
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With the pilot boat Lufafa turning away to return to port, Mediterranean Shipping Company’s much travelled container ship MSC POSITANO (34,083-dwt) faces the open sea on a heading for Mozambican ports. The vessel was built at the Daewoo Shipbuilding & Marine Engineering yard in Geoje, South Korea, entering service in 1997 with a container capacity of 2456 TEU. We described her as ‘much travelled’ which description probably matches any other 20-year old container ship because they are a species that seldom find themselves idle for too long. In this case of the 208-metre long, 30m wide MSC Positano, which is now an owned ship and managed by MSC Shipmanagement of Limassol, Cyprus, she has operated for at least ten other operators at different times, many of them in South American services – a busy ship indeed. This picture is by Trevor Jones
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SOUTH AFRICA’S 2017 MEDIUM TERM BUDGET — TOUGH TIMES AHEAD
Difficult times ahead as budget deficit widens to 4.3%

The South Africa’s Government’s consolidated budget deficit is set to widen to 4.3% this year, the National Treasury said yesterday (Wednesday, 25 October 2017).
In its Medium Term Budget Policy Statement documents, the National Treasury attributed this to a sharp deterioration in revenue collection and further downward revisions to economic growth projections, which it said significantly eroded government’s fiscal position.
Finance Minister Malusi Gigaba reported while delivering his medium term budget that tax revenue is projected to fall short of the 2017 Budget estimate by R50.8 billion in the current year, the largest under-collection…[restrict] since the 2009 recession.
At the same time, additional appropriations of R13.7 billion have been agreed to forestall calls against guaranteed debt by the creditors of South African Airways (SAA) and the South African Post Office (SAPO).
“These are partially offset by use of the contingency reserve, as well as projected underspending,” Gigaba said.
“As a result of these developments, the consolidated budget deficit will widen to 4.3% of GDP in 2017/18, against a 2017 budget target of 3.1% of GDP.”
Treasury said the widening of the budget deficit comes after years of expenditure restraint after government imposed state-wide austerity measures with an aim of putting an end to abuse and to save resources that can be directed to priority spending areas.
The National Treasury said government’s short-term options to reverse this situation are limited.
“Given that per capita income is falling, the economic impact of further expenditure cuts or tax hikes could be counter-productive.
“Following several years of expenditure restraint, further budget cuts will involve hard choices and difficult compromises.
“Sudden or deep additional cuts that are not well-targeted could put severe pressure on already stressed departmental budgets.”
The National Treasury said some national departments are battling to operate within the compensation limits set by Parliament in the current year.
Added to this, several provincial departments are running up unpaid bills to maintain service delivery levels.
At the same time, government is acutely aware of the dangers of unchecked debt accumulation.
Debt-service costs are the fastest-growing category of expenditure, crowding out social and economic spending. By 2020/21, nearly 15% of main budget revenue will be spent servicing debt.
The National Treasury estimates that stabilising gross debt below 60% of GDP over the coming decade will require spending cuts or tax hikes amounting to 0.8% of GDP. In 2018/19, 0.8% of GDP would amount to R40 billion.
Even before the finance minister had concluded his budget speech in parliament, the Rand which had been hovering around the R13.50 mark, plummeted to R14.0463 to the US dollar by the end of the day.
SAA to receive R4.8 billion cash injection
The national carrier, South African Airways, will receive a further R4.8 billion government guarantee by March next year.
This was revealed in the 2017 Medium Term Budget Policy Statement tabled yesterday by Finance Minister Malusi Gigaba, which states that government has issued a R19.1 billion guarantee facility to the airline to ensure it continues to operate as a going concern.
“Total recapitalisation of R10 billion will be provided in 2017/18. An amount of R5.2 billion has already been provided, with the remaining R4.8 billion to be transferred by 31 March 2018,” Gigaba said.
The funds will be used for working capital and to settle debt, enabling the airline to reduce its interest expenses.
Despite the capital allocation, government’s exposure to SAA debt remains significant at R15 billion.
“There is risk that if SAA’s financial fortunes do not improve, there will be further calls on the remaining guarantee,” he noted.
SAA, which was moved from the portfolio of Public Enterprises to National Treasury in 2014, has been struggling to pay its lenders and service providers.
At the end of September, National Treasury announced that government had approved a R3 billion transfer from the National Revenue Fund (NRF) to SAA to meet its debt obligations to Citibank.
September’s transfer followed on another made in July. source: SAnews.gov.za[/restrict]
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A STATEMENT FROM THE SECRETARY-GENERAL OF IMO

25 October 2017
Recent media reports have questioned the transparent, inclusive approach adopted by all stakeholders with an interest in addressing the threat of climate change through the IMO, the global regulator of shipping, and the body most able to deliver uniform, global solutions in the spirit of the 2015 Paris Agreement. Indeed, IMO’s efforts to reduce harmful air emissions from ships spans decades, and continues this week with the second meeting of the Intersessional Working Group on Reduction of GHG Emissions from Ships. 57 IMO Member States and 21 Non-governmental organizations (NGOs) in consultative status are participating in this week’s meeting.
As is the case in other UN agencies of a technical nature, the make-up of national delegations to IMO is entirely a matter for the countries themselves, and those countries who wish to include industry technical experts or others may do so. Neither the IMO Convention, nor any of the Rules of Procedure for individual meetings limits, in any way, Member States’ ability to structure their delegations as they consider most appropriate in order to carefully consider the issues before them.
In addition, IMO currently has consultative arrangements with 77 NGOs. They include environmental groups, seafarer organizations, and groups representing classification societies, shipbuilders and owners of different types of ships. The range of NGOs represented at IMO rightfully covers the broad spectrum of shipping, maritime and social interests. These NGOs are selected by the Member States based on their ability to substantially contribute to the work of the IMO through the provision of information, expert advice and representation of large groups whose activities have a direct bearing on the work of IMO. Participation of organizations representing so many different viewpoints provides a balance that adds considerably to the credibility of the Organization’s overall output. This inclusiveness is one of IMO’s great strengths.
I look forward to the continued efforts of all involved to address the pressing issue of climate change.
The Senior Management Committee of IMO is composed of :
Kitack Lim (IMO Secretary-General)
Lawrence Barchue (Assistant Secretary-General/ Director, Member State Audit and Implementation Support)
Arsenio Dominguez (Chief of Staff, Office of the Secretary-General)
Ashok Mahapatra (Director, Maritime Safety Division)
Stefan Micallef (Director, Marine Environment Division)
Youqiang Li (Director, Conference Division)
Frederick Kenney (Director, Legal Affairs and External Relations Division)
Nicolaos Charalambous (Director, Technical Cooperation Division (TCD))
Linda Ryan (Director, Administrative Division)
JJ Shiundu (Acting Director, Technical Cooperation Division (TCD))
Sung-Jin Kim (Senior Deputy Director, Internal Oversight and Ethics Office)
**********************************
About the Secretary-General of IMO
Kitack Lim was elected Secretary-General of the Organization by the 114th session of the IMO Council in June 2015 for a four-year period beginning 1 January 2016.
The election was endorsed by the IMO’s Assembly at its 29th session in November 2015.
Mr Kitack Lim (Republic of Korea) is the eighth elected Secretary-General of the International Maritime Organization.
Reported by Paul Ridgway
London
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Seaborne trade grew by 2.6% in 2016, to reach 10.3 billion tons, but the pace remained below the historical 3% cent average, and demand for maritime shipping continued to lag behind supply, a new United Nations report says.
Forecasts for 2017 point to a slightly higher growth rate of 2.8%. Projections for the medium term point to a compound annual growth rate of 3.2% between 2017 and 2022.
Published on 25 October 2017, the UNCTAD Review of Maritime Transport 2017 says…[restrict] the world’s commercial fleet grew by 3.2%, to reach 1.86 billion dead-weight tons in early 2017, and that the persistent imbalance between supply and demand is keeping freight rates and earnings low in most segments.
The squeeze was felt in particular by the container shipping market, which last year reported a collective operating loss of $3.5 billion.
In the words of UNCTAD Secretary-General Mukhisa Kituyi, ahead of the report’s publication: “A slower demand than earlier projected, coupled with a large influx of vessels, has led to a continued oversupply of shipping capacity.”
Increased consolidation among carriers could bring some order to a market in need of better supply management and improved efficiency, and the pooling of cargo could improve economies of scale and reduce operating costs.
Yet there are risks associated with the recent mergers and mega alliances among container carriers.
Shamika N Sirimanne, Director of the UNCTAD Division on Technology and Logistics said: “The risk is that growing market concentration in container shipping may lead to oligopolistic* structures. In many developing countries’ markets, there are now only three or even fewer suppliers left. Regulators will need to monitor developments in container shipping mergers and alliances to ensure there is competition in the market.”
Revisiting the rules governing consortiums and alliances may be necessary to determine whether these require new regulations to prevent market power abuse and to balance the interests of shippers, ports and carriers.
Ports are under pressure from ever larger ships
World container ports face mounting pressure from ever larger ships. In addition, they must cope with the cascade of vessels from main trade routes to secondary routes, as well as increasing concentration and consolidation in liner shipping and growing cybersecurity threats.
Although investment is key for ports to improve, the amount needed to accommodate ever larger ships may not be worth the extra cost, unless the bigger vessels guarantee more cargo. Otherwise, ports will have invested in larger yards and additional equipment to handle the same total volume.
Between 2000 and 2016, a total of us$68.8 billion in private investment was committed across 292 port projects aimed at improving port infrastructure and superstructures. Private operators not only improve port infrastructure and services, but also contribute to better port sustainability and competitiveness, bringing new technologies and improving supply chain management, hinterland connectivity and door-to-door delivery.
Transport costs overburden developing countries
The UNCTAD Review of Maritime Transport 2017 says that, on average, transport and insurance costs account for about 15% of the value of imports, but that this is much higher for smaller and more vulnerable economies; on average 22% for small island developing States, 21% for the least developed countries and 19% for landlocked developing countries.
The persistent transport cost burden on many developing countries stems from lower efficiency in ports, inadequate infrastructure, limited economies of scale and less competitive transport markets.
Helping developing countries improve the factors behind high transport costs is therefore key for economic development. This can be done through soft measures, such as providing training and facilitating reforms, or hard measures, such as upgrading infrastructure and improving equipment. The long-standing technical cooperation work of UNCTAD on the automation of customs procedures and the integration of trade and other processes of government agencies through the Automated System for Customs Data shows that such efforts can reduce transaction costs, shorten cargo dwell time and increase transparency.
New technologies create opportunities and risks
New technologies are transforming the maritime transport industry, improving economic efficiency, optimizing logistics management systems and operations and increasing connectivity, including digital connectivity. Yet these technologies are also raising new concerns, such as increased cybersecurity threats and weakened protection for privacy and financial data. Public and private stakeholders should therefore work together to better understand, assess, manage and monitor new technologies, to ensure that ships navigate safely and that important offshore and onshore information remains secure.
Cybersecurity concerns should be reflected in the regulatory frameworks governing the maritime sector, and regulatory compliance should be encouraged and supported. The enforcement of existing cybersecurity regulations is important, as is the development of additional standards and policies. Best practices, guidance and standards adopted to date should be considered, along with the five functional elements contained in the International Maritime Organization guidelines on maritime cybersecurity risk management, namely identify, protect, detect, respond and recover.
Liquefied natural gas is on the rise
The use of liquefied natural gas for fuel is on the rise, amid tightening environmental regulations. This is because liquefied natural gas-powered ships reduce certain emissions and can thus be a cost-efficient way to comply with new emissions control regulations. The share of gross tonnage from liquefied natural gas-capable ships on the order books for delivery in 2018 and beyond stands at 13.5%, more than twice the value in 2017 and more than three times the value in 2015.
The Review of Maritime Transport is a recurrent publication prepared by the UNCTAD secretariat since 1968 with the aim of fostering the transparency of maritime markets and analysing relevant developments.
*As of a market condition in which sellers are so few that the actions of any one of them will materially affect price and have a measurable impact on competitors.[/restrict]
Edited by Paul Ridgway
London
CALL FOR EXPRESSIONS OF INTEREST
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GREENPEACE’S ESPERANZA JOINS CAMPAIGN TO SAVE CONGO BASIN FOREST

BOMA, Democratic Republic of Congo, 25 October 2017 — The Esperanza, the largest ship in the Greenpeace (www.Greenpeace.org) fleet is currently in the Democratic Republic of Congo as part of its tour of the coasts of Central African countries with a message: ‘Give the Congo Basin forest a chance’.
It is also the slogan of the ship tour that began in Cameroon on 13 October and will end in the Republic of Congo on 10 November.
Esperanza docked on Tuesday, 24 October at the port of Boma, in the Kongo Central province, and will travel the waters of the Congo River to anchor at the port of Matadi for nearly ten days. She will leave the DRC on…[restrict] 4 November for Pointe-Noire, in the Republic of Congo.
During its stay in Matadi, the ship will serve as a venue for various mobilisation activities aimed at the protection of the Congo Basin forest. Decision makers, donors, civil society organisations and local communities will come together on a platform to discuss a new approach to forest management that should benefit forests, communities and the climate all around the world.
The Congo Basin is the second largest forest in the world after the Amazon. It faces several environmental challenges especially industrial logging and industrial agriculture which both have negative impacts on these forests. Local communities and indigenous peoples are also affected as their livelihoods are often destroyed.
By visiting these three countries of Central Africa, the ship tour will seek to establish that economic, social and environmental justice are intrinsically linked and public and political engagement are critical to its attainment. Also, the empowerment of people and the amplification of marginalised voices are prerequisites for the establishment of an environmental justice in Africa and for the protection of global climate.
“With the Esperanza, we want to showcase the rich biodiversity of the Congo Basin forest and the communities that depend on it. It is important to partner with local communities in forest management in order to protect our climate and safeguard the Congo Basin forest and its recently discovered peatlands,” said Irene Wabiwa, Greenpeace Africa Senior Forest Manager.

Local communities and indigenous peoples will be particularly in the spotlight and will speak about their situations, challenges and hopes with a key message to policy makers and funders: “Together, invest in community forestry initiatives for the sustainable management of our forests”.
“The DRC has a crucial role in the climate negotiations and the visit of Esperanza to this country is an opportunity to deepen the commitment of policymakers and donors to protect the Congo Basin. The Congolese government needs to step up and signal its commitment to better forest management and send a strong message to COP23 which opens on 6 November in Bonn-Germany,” said Victorine Che Thoener, Greenpeace Africa Congo Basin Project Leader.
Greenpeace Africa hopes that the presence of Esperanza in the region will increase awareness on the threats facing the forest and help promote better understanding of the priorities that need to be taken into account to protect the Congo Basin forests and promote community rights.[/restrict]
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ALGERIAN NAVY TAKES DELIVERY OF NEW SAIL TRAINING SHIP EL-MELLAH

The Algerian Navy took delivery of its new sail training ship named EL-MELLAH last Saturday, 21 October 2017.
The 110-metres long, 14.5m wide sailing ship was built at the Remontowa Shipbuilding yard in Poland, with the handing over ceremony taking place in Gdansk.
The name El-Mellah in Arabic means…[restrict] ‘Sailor’ in English. Her masts reached 54 metres above the water line.
As the ship was handed over, the Polish flag was lowered and the Algerian raised, to the sound of the Algerian National Anthem.

Then the crew of 222 officers and sailors went on board.
El-Mellah also has facilities for another 120 cadets on board – the main purpose of the sail training ship.
The ship will also act as a travelling ambassador for Algeria, showcasing the North African country and visiting foreign ports and participating in international events.
El-Mellah is due to sail shorty from Gdansk for Tamentfoust, Algeria, the home of Algerian Naval Academy.[/restrict]
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NSRI MOSSEL BAY INVOLVED IN MEDIVAC OF ILL MAN FROM SA AGULHAS

The cadet training and research supply vessel SA AGULHAS, which has been berthed at Port Elizabeth for the past several weeks, has sailed for Cape Town but not without incident.
While off the coast of Mossel Bay the ship reported that a 21-year old man on board was suffering from hyperglycaemia and needed…[restrict] to be evacuated from the ship in order to receive urgent medical treatment.
Andre Fraser, NSRI Mossel Bay station 15 commander, reports that the NSRI duty crew was activated by the Transnet National Ports Authority (TNPA) and requesting assistance.
The ship by this stage had already passed Mossel Bay and reported the situation to the MRCC. After evaluation by a Government Health EMS duty doctor SA Agulhas was instructed to turn about and proceed back towards Mossel Bay.
“The sea rescue craft Rescue 15 was launched and we rendezvoused with the SA Agulhas about a nautical mile off-shore of the North breakwater just after midnight (25 October) and the patient, walking wounded, was transferred onto Rescue 15 in the care of NSRI medics and brought to shore where he was taken into the care of ambulance service paramedics and transported to hospital in a stable condition for further medical treatment.”
SA Agulhas has continued her voyage to Cape Town.[/restrict]
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NORWEGIAN JEWEL TO SPEND 2018/2019 SEASON IN AUSTRALIA & NEW ZEALAND

MIAMI, 25 October 2017 – Norwegian Cruise Line opened for sale the line’s 2018/2019 Australia and New Zealand cruises aboard NORWEGIAN JEWEL.
Following an expansive refurbishment, Norwegian Jewel will spend a second season down under cruising an action-packed series of itineraries taking in the best of Australia including Melbourne, Cairns, Hobart, and New Zealand including Milford Sound, Wellington and Tauranga, as well as itineraries to the South Pacific, Southeast Asia, and a transpacific voyage from Vancouver to Tokyo (Yokohama).

In late October 2018, Norwegian Jewel will undergo a three-week dry-dock enhancement in Singapore, as part of the Norwegian Edge multi-million-dollar revitalisation program. She’ll emerge a nearly new ship for her Australian season with bow to stern refreshments and a new look across many of the ship’s public spaces.
“Norwegian Jewel’s Australia and New Zealand sailings have received a great deal of anticipation and excitement from guests both locally and internationally,” said Andy Stuart president and chief executive officer for Norwegian Cruise Line. “The region is a bucket-list destination for many of our guests with a warm culture, lush lands, sandy beaches, action-packed adventure and more. We are thrilled to be returning to this dream destination with the iconic Norwegian Jewel looking as if she were a brand new ship.”
Highlights for the new 2018/2019 season include a spectacular 19-day transpacific journey from Vancouver to Tokyo (Yokohama) via Alaska and Russia; a 19 day journey to Australia from Singapore with stops in Bali and Komodo Island; a new 13-day South Pacific itinerary and – back by popular demand – a series of sailings in and around Australia and New Zealand home-porting from Sydney, including a seven-day round-trip itinerary featuring calls in Tasmania just before the holidays in mid-December.
Norwegian Jewel boasts 15 dining options including the line’s signature specialty restaurants including Cagney’s Steakhouse serving up the finest cuts of Premium Black Angus Beef, Le Bistro, an intimate upscale French bistro and Teppanyaki, the home of sizzle and surprises with authentic Japanese Hibachi. The ship also boasts 15 bars and lounges featuring Norwegian favourites such as Sugarcane Mojito Bar, Maltings Whiskey Bar, a poolside bar for afternoon cocktails at sea and many more.
Renowned for her remarkable repertoire of entertainment at sea, Norwegian Jewel guests can enjoy world-class entertainment including acrobatics and artistry in Le Cirque Bijou, variety entertainment and more. The sports complex will get the heart started with a range of activities including basketball, dodgeball, tennis and volleyball, and kids won’t want to leave the designated kid’s pool or Splash Academy, Norwegian’s award-winning youth program. Health enthusiasts can choose from classes ranging from Zumba to yoga, while those keen to dial down the pace may want to book in to be pampered at the Mandara Spa and Thermal Suite, home to a myriad treatments designed to relax and rejuvenate weary travellers.
Accommodation options aboard Norwegian Jewel range from inside staterooms to balcony staterooms boasting superb views and private outdoor areas. Interconnecting rooms and multiple-bedroom suites are also available for families. For an unforgettably indulgent experience, Norwegian Jewel’s ultra-exclusive The Haven by Norwegian® is home to the ship’s most luxurious suites and villas, a private courtyard, whirlpools and dedicated private deck exclusively for Haven guests, as well as dedicated concierge services.
For more information or to book a cruise with aboard Norwegian Jewel, call Triton Cape Sea Travel on 021 4439030 or email info@tritonsea.co.za

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GENERAL NEWS REPORTS – UPDATED THROUGH THE DAY
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EXPECTED SHIP ARRIVALS and SHIPS IN PORT
Port Louis – Indian Ocean gateway port
Ports & Ships publishes regularly updated SHIP MOVEMENT reports including ETAs for ports extending from West Africa to South Africa to East Africa and including Port Louis in Mauritius.
In the case of South Africa’s container ports of Durban, Ngqura, Ports Elizabeth and Cape Town links to container Stack Dates are also available.
You can access this information, including the list of ports covered, by going HERE remember to use your BACKSPACE to return to this page.
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CRUISE NEWS AND NAVAL ACTIVITIES
QM2 in Cape Town. Picture by Ian Shiffman
We publish news about the cruise industry here in the general news section.
Naval News
Similarly you can read our regular Naval News reports and stories here in the general news section.

Remember the TINA? This was the bulker (75,933-dwt, built 2000) that, fully laden with grain taken on in Brazil, was towed into Durban behind the impressive big offshore tug Pacific Diligence (6,641-gt) on 20 September – CLICK HERE. On that occasion she was met at the port entrance by a number of harbour tugs to assist her entry safely into the port for repair. Now back in service Tina is seen here departing the port under her own power, still laden with the grain and accompanied by the single harbour tug UMSUNDUZI and the pilot boat LUFAFA until she reaches the entrance channel, after which Tina is alone to continue her interrupted voyage. These pictures, as with those of our earlier report are by Keith Betts
THOUGHT FOR THE WEEK
“Most of us, I suppose, are a little nervous of the sea. No matter what its smiles may be, we doubt its friendship.”
– H. M. Tomlinson
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