Maersk pulls back from reefer sector due to high investment, low return

DANISH shipping giant Maersk Line is to reduce investment in reefer containers due to disappointing returns and high costs until 2013, despite growing demand from its dry container customers for perishable services.

"While customer demand for refrigerated service remains high, the rates on these shipments aren't high enough to justify further investment next year," said North American reefer vice president William Duggage.

"Reefers cost about four times as much as dry containers, and we just don't see a fair return," he said, according to London's Containerisation International.

The carrier has struggled with an older specialised reefer fleet leading to tonnage mothballing and a knock-on shortage of capacity. As much as half of its purchase over the last four years of 25,000 units of 40 foot high cube boxes from sister unit Maersk Container Industries and CIMC has replaced retired vessels.