Abstract
The article presents structural changes in liner shipping sector, as many global Container shipping lines are opening their own agencies and many independent shipping agents are consecutively closing down their activities, either via takeovers or by going out of business completely. The process of horizontal and vertical integration in shipping industry is re-shaping the entire logistics industry. Such changes put pressure on shipping agents to redefine their market role and develop services with added quality, and relationships with actual and new principals. They are forced to seek for new ways to make income therefore they are forced to perform additional roles, in order to satisfy carriers on one hand, and usually just a few clients, on the other. A market analysis in Slovenia has been performed among companies offering ship-port services, with focus on comparison between independent agents and Container Line offices. It has been ascertained that independent shipping agents must implement the new strategy which is closer to a forwarder’s mentality and market role.
Highlights
The shipping industry is facing tough times, as the global industry is still under pressure of considerable fall in global production and consumption
The article presents structural changes in liner shipping sector, as many global Container shipping lines are opening their own agencies and many independent shipping agents are consecutively closing down their activities, either via takeovers or by going out of business completely
Horizontal integration of Container lines and their control over important supply chains have a lot of direct impacts on organization, working procedures and market situation of independent shipping agents
Summary
The shipping industry is facing tough times, as the global industry is still under pressure of considerable fall in global production and consumption. The shipping sector is suffering from the global financial and economic crisis, and elements as efficient time managing, managing space and information in global supply chains are becoming the key goals of all participating subjects in the supply chain. Such focus highlights the need of some structural changes and reorganization within the entire sector. Frémont (2009) exposes that such a vertical integration strategy bases on providing efficient and direct support to vessel logistics As a result, both the independent shipping agent and forwarding agent are under pressure to find a new way of income and secure their own financial means for a certain period of time. 22 companies do not offer forwarding services on the market, but they are primarily focused on ship-port services
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