Trada cancels plan to purchase 5 vessels

Shipping company PT Trada Maritime Tbk has canceled plans to buy five new vessels due to the fluctuating rate resulting from the lingering impact of the global economic crisis.

Company CFO Adrian E. Sjamsul said the freight rate since last September ranged from US$20,000 to $27,000 a day, compared to $23,000 to $25,000 a day in normal condition. The fluctuating rate was not good for business, Adrian was quoted by Kontan as saying.

The purchase was pending until next year when the global demand has stable, he said.

This year, the firm only bought two vessels, including a panamax dry cargo worth $30 million, which would serve Southeast Asia and Pacific route. (*)