EMEA News
Istanbul Freight Index: 2014 Week 2
Markets were off to a slow start as holiday slumber somewhat extended to the beginning of the week in some countries and due to Orthodox Christmas celebrations. After Wednesday, jobs started to show up again.
In Black Sea - East Mediterranean range, 5.000 tonne grains were offering 29-20 USD a tonne some 2 to 3 USD a tonne lower than pre-holiday period.
Intra-Black sea coals in similar size parcels fetched 18-19 USD a tonne, lower than previously seen excess-20 USD a tonne levels based on loading/discharge terms. Large tonnages did not seem to lose any momentum as some 8.000 tonne corn was this week heard fixed for 31 USD a tonne from Braila to Iskenderun.
4.000-5.000 tonne Ukrainian grains to Central Mediterranean/Adriatic were offering as high as mid-40 USD per tonne levels prior to Christmas but now they are seen at mid/high-30's.
In the Central Mediterranean, Adriatic returns to Black Sea weakened to summer levels with 5.000-6.000 tonne cargoes offering as low as 16-18 USD a tonne. 4.500 tonnes of minerals were reported fixed at 15 USD a tonne from Augusta to Marmara.
As for West Mediterranean Portugal/North Spain – Algeria range steels that used to earn 23-24 EUR per tonne prior to holidays were this week 20-21 EUR per tonne on 5.000-6.000 tonne basis.
On shorter routes even lower rates are reported as one cargo was heard fixed during the first week of January at 21 USD a tonne from Sevilla to Tenes.
Predictably, freight rates are coming under pressure while bad weather also creates additional problems.
Grains are reported fixed from Amsterdam-Rotterdam-Antwerp- Ghent (ARAG) to Ireland at 18 EUR/tonne while 3.000 tonne steels from St. Petersburg to ARAG are seen fixed at 22 EUR per tonne, 1 EUR/tonne cheaper than prior to Christmas.
5.000 tonne fertilizers from Baltic to North Spain are shipped for an average of 24 EUR per tonne, again 0,5 EUR/tonne lower than prior to Christmas.
