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Feeder lines face change

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Expansion of Asian feeder systems will have to rely on the foresight and conviction of hub centres and survival skills of feeder operators, a shipping executive says.

Chan Tuck Hoi, executive vice-president of Singapore-based Regional Container Lines (RCL), said an operator had to invest in a sizeable fleet of modern, high-specification feeder ships to seize opportunities for growth.

'The operator should also have strong financial support and management to capitalise on economic viability in the ever-changing feeder systems in Asia,' he said.

Speaking at the sixth International Symposium on Liner Shipping, Mr Chan said operators needed innovative marketing and quality service.

RCL, besides providing fixed-schedule services, also could provide tailor-made solutions to shippers' needs.

Demand for feeder services would continue in line with economic growth and expansion of major hubs in Asia, with systems likely to undergo structural changes to meet new directions of container trades, Mr Chan said.

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