Qatar’s S’hail Shipping acquires new vessel

Qatar’s S’hail Shipping and Maritime Services, one of the fastest growing shipping companies in the region, has announced to have acquired a new ship, demonstrating its robust financial condition and business strategy despite the challenging market environment, top officials of the company told The Peninsula, yesterday. 

In an exclusive email interview to this newspaper, the Chairman and Managing Director of S’hail Shipping, Mohamed Khalifa Al Sada said that with the newly purchased world-class Japanese-made vessel the size of the company’s fleet will increase to eight.

The new ship is expected to join S’hail’s fleet in around first week of December 2020 most likely in Kobe, Japan. The Doha-based maritime company specialises in providing drybulk transportation services across the world. 

With all its ships registered and flagged in the State of Qatar, S’hail demonstrates Qatar’s growing presence in global non-oil commodity trade led by an effort of some 343 Qatari investors creating value and vibrancy to local economy.

Al Sada (CMD of the company), said: “S’hail Shipping believes that the freights are already on its path to recovery along with the growing confidence of countries to control and cure the pandemic.”

He also noted that the speed of recovery may vary between the countries in the world but on a long term, most markets predict that the resultant stimulus economic aid packages announced by major economies of world are likely to increase investments in infrastructure projects that will help growth in trades like iron ore which in 2020 itself at about 2.9 billion tonnes is projected to be around 3 percent more than in 2019. 

Al Sada added: “We therefore found this as an opportune time to add our 8th ship of about 86,000 dwt (deadweight tonnage) dry bulk carrier built in Japan which will increase our combined cargo capacity and dwt to 569,458 MT.” 

On his part, the Chief Executive Officer of S’hail Shipping, Rajiv Pal, said: “Since the company’s incorporation in December 2016, the business strategy of the company has successfully faced, evolved and worked to overcome the most unpredictable and sudden business disruptions arising from the siege on Qatar in June 2017 to the recent crash in oil market and economic lockdowns due to COVID-19. Despite such period of severe market disorders, the company is consistently performing to expand its global shipping capacity and generate profits for its shareholders.”

Within a short span of time, S’hail Shipping has registered a significant growth despite the blockade given the fact it was established to operate in Gulf waters with an aim to import gabbros and other drybulk from neighbouring countries, but due to the ongoing siege, it was compelled to operate internationally.

“The year 2020 has been an extremely volatile year for dry bulk shipping with a very negative impact on freights in the first half of 2020 due to COVID-19 lockdowns. Many market watchers believe that the negative impact is not necessarily on account of weak demand due to COVID-19, but more due to disruptions in supply caused because of closure of ports for cargo operations and cancellation of flights coupled with regulations restricting timely crew changes,” said Pal.