Asia/Pacific News
India Suggests SCI Move to More Fuel Efficient Ships
A parliamentary standing committee on transport in India has recommended that the Shipping Corporation of India (SCI) purchase newer, more fuel efficient ships to replace the older tonnage within the company's current fleet.
"The committee understands that some of the ships owned by SCI are aged and needed to be phased out," stated a report recently released by the committee.
"If the international market situations are viable, they may go for purchasing new fuel efficient vessels in place of the old ones."
The committee suggests that upgrading SCI's fleet, which currently consists of 69 vessels, including 17 bulk carriers, 16 crude oil tankers, and 14 product tankers, could provide the boost that the company needs to make a financial turnaround after a number of challenging years.
Further plans for the company's financial improvement are said to include a focus on coastal and near coastal trade, as well as the enhancement of its break bulk and project cargo business, and the optimisation of equipment inventory.
In February, Ship & Bunker reported that SCI nearly doubled its third quarter net profit with help from a new depreciation provision and lower bunker prices, which provide a significant boost for the company, despite poor global trading conditions.
