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Container lines optimistic over cargo volumes

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Container shipping lines could see a stronger recovery in trade volumes in the coming months especially on transpacific routes and services to emerging markets as inventories are replenished and consumers spend more, shipping experts say.

Tim Smith, Maersk Line chief executive for north Asia, said overall growth in cargo demand was expected to rise by between 4 and 6 per cent this year. But there was a 'good chance of higher than expected growth in volumes' on services between Asia and developing regions including South America, Africa, the Middle East and India where 'there could still be double-digit growth.'

Smith said rising income levels in China and the emergence of a middle class, was 'going to be good news for importers and potentially for domestic distribution'.

Maersk Line has already seen a 20 per cent increase in import volumes into China last year, he added.

Confidence was also rising among cargo owners that there could be a resurgence in business as spending by North American consumers rose.

Smith pointed out that a year ago exporters and importers had little idea how order volumes would develop even on a month to month basis, but now there was optimism.

'I wouldn't say that forward forecasts are incredibly strong [on the transpacific], but we've noticed quite a few of our big beneficial cargo owner clients have been keen to reaffirm their space requirements, which shows they're definitely thinking about the need to reserve sufficient capacity,' Smith said.

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