The Port of Colombo continued to see volumes fall as the rest of the world begins to talk about a recovery in the global economy.

Total cargo volumes declined by 6.8 percent year-on-year to 31,502,000 MT from 33,817,000 MT during the first eight months of this year.

During this period, domestic TEU (Twenty-foot Equivalent Container Units) volumes fell 12.1 percent year-on-year to 485,219. Transhipment volumes fell by 6.5 percent to 1.72 million TEUs from 1.84 million during the corresponding period of the previous year.

Re-stowing volumes fell 28.9 percent to 42,781 TEUs while container handling volumes fell 14.5 percent to 2.2 million TEUs from 2.6 million.

Cargo volumes discharged and loaded also fell by 7.8 percent and 5.5 percent respectively.

A leading exporter said recently that two shipping lines have stopped calling on Colombo due to falling volumes, but the Ceylon Association of Ship Agents could not be contacted for a clarification.

Meanwhile, according to sources, the Ceylon Shipping Corporation was also running at a loss due to falling volumes and struggling to pay salaries.

The slump in global trade and Sri Lanka’s small market have prompted local companies in the shipping industry to look for bigger markets in Bangladesh, India and China in a bid to expand their businesses, whilst continuing to use Colombo as a hub.

Expo Lanka, Pership, Scanwell, Freight Links, Aitken Spence, Hayleys and Ceyline are some of the local entities who have already expanded their reach to neighbouring ports, particularly in Bangladesh and India.