I am glad to share that our Liner Management System (LMS) has been successfully launched on ( Website launching date ). I wish to thank everyone for your cooperation and hard work, especially during the data migration period from 29 Oct to 1 Dec . Well done!
Looking back, 2017 has been a turbulent year with our financial results adversely affected by the very low freight rates and the one-off bunker hedging loss in the first half of the year. With the reduction of shipping capacity in the market due to the demise of Hanjin Shipping in July 2016 and together with the improved trading environment, we are glad to see steady recovery of freight rates starting from March 2017.
Container liner shipping industry will continue to consolidate with less players remain in the market. We are cautiously optimistic that 2018 will be the turning point for the industry and we expect the business going forward to be relatively stable. Nevertheless, we would continue to focus on effective cost management and service rationalisation to remain competitive in the market.
Gulf will continue to be our key market. We have been working closely with MLO to further enhance our services in both Far East and Europe with deployment of vessels of optimum size for the trade. We are also taking steps to strengthen our land based logistics activities including distribution centre, trucking, inland CFS and container depots.
Together with our strategic partners, Blue Sea Sun and Lancer, Navio would be increasing our capacity in the Transpacific Trade. Effective from August this year, we would be offering 7 services with comprehensive port coverage from Asia to China and US West Coast.
Beside the cooperation in the container liner services, Muskan will work closely with China Cosco in terminal operation, ship repairs, container manufacturing, bunker procurement, multi-purpose shipping service, logistics and ship agencies.
Last but not least, Muskan Logistics, another subsidiary company of Muskan Group, operating shipping services in the World, signed a Agency together with many freight forwarder throughout the World by JC TRANS.
As we expand our business activities worldwide, we need to ensure that we have the necessary human resource to man our key positions in the Muskan Group of companies, both in India and oversea. In this respect, we are now working with WCA to embark on our Group HR capability and leadership development initiative. We will continue to provide a positive work environment for our colleagues to foster learning and development.
We have just celebrated our 09 th Anniversary on 09th September 2017. I am glad to see the high spirit among colleagues of our worldwide network. We have also received strong support from our business associates, partners and bankers. I am confident that with your dedication and hardwork, we can take advantage of the improving trading environment to bring Muskan Group to the next league.
Thank you for your support.