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ANALYSISUK


Green and pleasant land nurtures


With an increasing spend on the development of


renewable energy resources, it is an interesting time for the UK heavy lift and project forwarding community. David Kershaw reports.


slow start to 2013 for UK based heavy lift and project forwarding providers has been followed by an uptick in demand, fuelled by the energy and oil and gas markets. On a countrywide level, the Office of National Statistics revealed that the UK did not suffer a double-dip recession in 2012, which would have signified a second recession in three years, but the post credit-crunch downturn in 2008/09 was deeper than first estimated – and the UK’s economic output is currently 3.9 percent lower than its pre-crash peak in 2007. But the government has revealed an ambitious capital infrastructure investment plan with the aim of attracting private sector investment, building business confidence and improving the long-term prospects of the UK market, which in turn should lead to a surge in demand for all aspects of the project forwarding industry. Ron Leach, business development manager at Stockport headquartered Chris Bennett Heavy Haulage, explained: “The year 2013 started very slowly for us, but business has picked up month on month. We are generating more quotes than we have for a good while and the pleasing aspect is that the quotes are for a wide range of goods.”


A Kazakhstan and Russia.


“Demand was slow at the start of the year. All the indicators at the end of 2012 pointed to a strong start to 2013. However, after a ‘mini-panic mode’ the UK is now seeing


more vessel calls,” Nott said. “Manufacturers of UK produced machinery are also a strong driver, which is fantastic,” Nott added, with items such as cranes and packaging machinery “going all over the place”. Neel Ratti, global logistics sales manager at Manchester headquartered Tuscor Lloyds – a shipping agent and freight forwarder specialising in project logistics – stated: “The UK projects market has been a bit patchy so far in 2013. We have seen a fair amount of project work, although 2012 was a better year for the industry.”


Sluggish market Des Nott, project cargo manager at


Felixstowe headquartered Allseas Global Logistics – one of the UK’s leading providers of out-of-gauge and project cargo logistics – had similar thoughts. “After a reasonably quiet start to the year the market has improved considerably with rising demand into Australia, the Far East,


www.heavyliftpfi.com


After a reasonably quiet start to the year the market has improved considerably. – Des Nott, Allseas Global Logistics


Ratti explained that 2012 was a tougher year for containers and general cargo, although that trend has “flipped on its head” and 2013 has been the heavy and project cargo industry’s turn to feel the pinch. “The UK project market on the whole has been very good and has been growing for quite a long time – at least ten years. It is only recently that we have felt this blip,” he noted. “From a heavy lift carrier’s perspective, the UK market is still fairy sluggish in terms


July/August 2013 77


The UK government has earmarked GBP42.6 billion (USD64.9 billion) for construction of the High Speed 2 rail link with a further GBP7.5 billion (USD11.4 billion) allocated for rolling stock.


shoots of recovery


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