Suez Canal reports record revenue despite blockade crisis Business and Economy News


The head of the Suez Canal Authority, Osama Rabie, says the waterway earned the highest revenue in the canal’s history, with $ 5.8 billion.

The Suez Canal hit a record $ 5.84 billion in Egypt last fiscal year, its chief said Sunday, despite the effect of the coronavirus pandemic on world trade and six-day lockout of the busy waterway of a giant cargo ship.

“Despite several challenges, the canal’s revenue rose sharply” the fiscal year ended June 30, said Osama Rabie, head of the Suez Canal Authority (SCA).

Authorities earned “the highest revenue in the channel’s history, at $ 5.8 billion,” up more than two percent from the previous year, it said in a statement.

Rabie said the SCA’s “flexible marketing and pricing policies (had) helped keep a good traffic rate down the channel and won the trust of our partners.”

But the period was far from sailing.

The statement came just four days after the huge MV Ever given container ship, which had blocked one of the busiest waterways for six days in March, finally. steamed after its Japanese owners reached a compensation agreement with Cairo.

The nearly 200,000-ton ship had run aground and stranded across the canal during a sandstorm on March 23, blocking a vital artery from Asia to Europe that carries 10% of world maritime trade and provides Egypt with a vital income. .

It only re-floated six days later, after a huge rescue operation that killed an SCA employee.

Egypt, which charges tolls on ships crossing the canal, said the crisis cost it up to $ 15 million a day, while maritime insurers estimated the cost of world trade was billions.

The SCA said about 9,763 vessels had passed through the canal during the first six months of the year, two percent more than the same period last year.

About 19,000 ships passed through the canal in 2020, the SCA said, averaging more than 50 a day.

Source link