ANALYSIS OF THE IMPACT OF GLOBALIZATION TO SEABORNE TRADE

Key words: CO₂ emissions, ECLAC, globalization, IMO, seaborne, shipping, trade, trends, UNCTAD.

Introduction

According to the International Chamber of Shipping, ninety percent (90%) of world’s trade is conducted in developing the maritime sector, it being vital for optimal functioning of a globalized economy.

There are four key pieces in the puzzle of globalization: telecommunications, trade liberalization, international standardization and transportation. A key sector in the organizational and technological transformation in international business has been the sea. Indeed, much of the innovations designed to integrate the increasing flows of goods moving on the planet, was originally hatched "at sea" and was introduced into the international context by large shipping companies in the world. This is not strange, considering that much of international trade is conducted by sea.

This paper is a radiograph of the seaborne trade performance to a globalized economy, taking into account the general current trends and future perspectives. Finally, it has considered the importance of the seaborne trade and its direct impact to the environment, with the objective to control CO₂ emissions.

Trends in seaborne trade

The worst time of the shipping industry after the global economic crisis seems to be over. The Economic Commission for Latin America (ECLAC) recognized this affirmation in a report prepared by the Infrastructure Services Unit (USI), which states that since the third quarter of 2009 there was a gradual process of recovery of the sector.

In 2010, the global maritime framework represented for the seaborne trade a recovery period. According to Review of Maritime Transport 2011 prepared by the UNCTAD secretariat, there are indicative of a recovery of 7% (8.4% loaded billion tons of good) compared to the previous year (7.8% loaded billion tons of good), being dry cargo, including major dry bulks, minor dry bulks, general cargo and containerized trade key sectors to achieve this significant recovery.

In 2011, based on a forecast prepared by Clarkson Research Services Limited, the world seaborne trade increased significantly compared to 2010, especially in container, dry cargo, bulk cargo and crude oil and products.

“Green approach” in seaborne trade

The maritime industry has made considerable progress, from a technical standpoint, the issues relating to energy efficiency. Several technologies are available that could reduce emissions from new ships, per ton / mile, between 15% and 25%, depending on the type and size of the ship.

Some of these measures are profitable when the price of oil is high, while others are not. The challenge is to give industry incentives that reward efficient use of carbon that goes beyond a simple reduction of the fuel bill and correct any behavior that is not efficient.

Also, there have been efforts to create propulsion systems and propeller designs that can reduce fuel consumption by 10%, approximately the same time and generate the same power output as those installed 10 years ago. Similarly, simultaneous improvements in hydrodynamics and ship hull design have reduced fuel consumption by 2% and 4%.

Another measure has been evaluated: the speed of the of ships and in that sense, some argue that the decrease in the speed of a ship in a 10% cut emissions by 20%, on average, and, with respect certain vessels, including 30%. However, to transport the same amount of charge in the same period of time would require using more ships, and the alternative would have obvious implications for a world accustomed to deliver "point".

It would be worthwhile to note the efforts has been making the International Maritime Organization (IMO) to establish an action plan and scheme to regulate shipping at the global level and contribute to slowing climate change. The Committee to Protect Marine Environment has made great strides in developing an energy efficiency index for new ships project and for all ships, an energy management plan of the ship which includes guidance on best practices for operation of ships with fuel efficiency as well as an operational indicator of energy efficiency to help determine the efficiency of the ship's fuel consumption.

In the case of Panama, the expansion of the Panama Canal, one of the most important shipping lanes in the world, will generate a unique opportunity to reduce the carbon footprint of the maritime industry because the optimization of engineering and design of the sites along which ships would help reduce fuel use and hence CO₂ emissions.

Conclusion

In coming years, international shipping will cause major changes in all their earrings. Year after year, we have seen this industry has evolved from an economic crisis that seemed no end to an amazing recovery point.

Moreover, we cannot ignore environmental issues, in which shipping plays a crucial role in reducing CO₂ emissions, the use of renewable energy, biofuels, better techniques that allow boats to spend less fuels, more efficient and pollute less, among other actions are necessary to reduce the environmental impact generated by the shipping.

Bibliography

1.     International Chamber of Shipping. The maritime transport and international trade (2008). Disponible en: http://www.shippingandco2.org/ElTransporteMaritimo.htm

2.     The Economic Commission for Latin America (ECLAC). Trends in seaborne trade (2009).

3.     UNCTAD Secretariat. Review of Maritime Transport, chapter 1 (2011).