Egypt’s Suez Canal Records Record Revenues Despite Lockdown Crisis

Egypt’s Suez Canal Records Record Revenues Despite Lockdown Crisis

The Suez Canal brought Egypt a record $ 5.84 billion in the last fiscal year, its chief said on Sunday, despite the effect of the coronavirus pandemic on global trade as well as a six-day blockade of the waterway, which is very frequented by a giant freighter.
“Despite various challenges, the canal’s revenues have increased sharply” during the fiscal year ended June 30, said Osama Rabie, head of the Suez Canal Authority (SCA).

The authorities released “the highest revenues in the history of the canal, reaching 5.84 billion dollars”, more than 2% more than the previous year, he said in a statement.

Rabie said that “SCA’s flexible marketing and pricing policies (have) helped maintain a good rate of traffic through the channel and earned the trust of our partners.”

But the period was far from easy.

The statement came just four days after the massive container ship MV Ever Given, which blocked one of the busiest shipping lanes for six days in March, finally came to an end after its Japanese owners reached a deal. compensation with Cairo.

The nearly 200,000-ton ship ran aground and got stuck across the canal in a sandstorm on March 23, blocking a vital artery from Asia to Europe that carries 10% of trade global shipping and provides vital revenue to Egypt.

It was not refloated until six days later, after a massive rescue operation left an SCA employee killed.

Egypt, which takes a toll on ships crossing the canal, said the crisis has cost it up to $ 15 million a day, while shipping insurers estimate the cost to global trade in the billions.

The SCA said some 9,763 ships passed through the canal in the first six months of the year, up 2% from the same time last year.

About 19,000 ships passed through the canal in 2020, the SCA said, an average of more than 50 per day.


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