A majority of people would agree that the world’s economy has been confronted by challenges which have adversely affected many of the key sectors that have historically encouraged growth, such as the shipping industry for example.
With approximately 90 percent of world’s trade being transported by the global shipping industry, the successes (and failures) of industry leaders – such as Maersk Line make important contributions to international economic growth, or in some instances the lack thereof. Generally speaking, their performance is a strong indication of what the investment community can expect from global GDP, and their returns on investment.
Despite the fact that at this moment the global shipping industry and world trade are struggling along-side a battered world economy, industry and investor confidence is rising and strategic investments are continuing to fuel economic prosperity. Whether it be in developed or emerging markets, investors and industry leaders are identifying and capitalizing on opportunities to invest in global trade and drive growth.
Dubai port/terminal operator DP World is a great example of an industry leader that is investing in economic growth. The company has made a half-a-billion dollar commitment at Berbera port that will deliver the necessary investment needed to return the region to a major African trading hub and ignite the regional economy. Also, DP World has begun a $1.2 billion multi-purpose port project at Posorja in Ecuador, which is expected to increase the country’s competitiveness there as well. Company officials are confident that both are investments in emerging markets that show strong potential for future advancement. These two sizable commitments in Africa and South America demonstrate the importance of establishing a long-term investment plan.
Choosing a path that may not be popular with critics requires confidence and careful planning. Just as DP World has done in developing markets, look to regions with established patterns of growth, stability, and potential. Albeit there are financial challenges all across the globe, there are a surprising number of economies that are performing very well, particularly when compared to more advanced, developed countries like the United States.
During times of economic turmoil, investors – whether they be private or institutional – must seek-out alternatives to traditional investing strategies, looking closely to identify markets that are enjoying consistent growth and prosperity. It is within these opportunities that shipping industry leaders have demonstrated that consistent performance and profits can be found.