Cargill has no interest in owning ships

Cargill has no interest in owning ships

Commodities giant Cargill is looking to exit its brief flirtation with shipowning. Great Wave Navigation, a joint venture between Cargill and Mitsui, has three capesizes on order due for delivery in 2020.

However, Cargill’s interest in ownership is purely from a trading asset play perspective and being a shipowner is not part of the commodities trader’s long term plans.

Fiete Kallenberg, head of capes in Asia Pacific at Cargill Ocean Transportation, speaking at the Maritime CEO Forum held in Singapore earlier this week, told delegates: “We are not looking to be a shipowner.”

He said of the three JV capes that the plan was to dispose of them favourably. Cape newbuild prices have been appreciating in recent months suggesting Cargill could book a healthy profit from the potential resales. “We are a charterer and will look to remain a charterer,” Kallenberg stressed.

Cargill is one of the world’s largest dry bulk shippers with 600 ships on the water at any given time.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.

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1 Comment

  1. Avatar
    Sultan Riaz Khan
    March 15, 2018 at 6:50 pm

    Again ? They have done this before.