ISTFIX Black Sea & Mediterranean Freight Index Report: 2014 Week 9

by Istanbul Freight Index, ISTFIX
Wednesday March 5, 2014

Rates entered the second month of sluggishness in the Black Sea region with meagre signs of hope emerging from Ukraine as the ice campaign has been lifted.

Yet, the turmoil in the country is deepening, sending ripples of worry toward owners who fix twice before fixing.

Mediterranean earnings have been stable while Continent-Baltic regions improving weather and steady cargo demand apparently continued to balance markets.

3.500 tonnes of barley (stf 53) was reported fixed for 35 USD a tonne from Reni to East Coast Greece via a 5.000 dwt vessel, corresponding to about 30 USD/tonne to a 1/1 stowage basis. This is roughly the same as 3.200 tonnes of corn fixed on the same route for 30 USD a tonne last week. 3.000 tonne Black Sea – Central Mediterranean cargoes, meanwhile, were seen offering mid-30 USD levels based on terms.

In the East Mediterranean, a 5.000 dwt unit signed up for 4.500 tonnes of fertilizer parcel that quoted 23 USD a tonne from Mersin to Ravenna with reasonable terms and earned nearly 3.500 USD a day. Another 5.000 tonne cargo, this time pet coke in big bags were seen offering lump sum 380.000 USD from Volos to Aqaba. If the vessel can find a break-even cargo through Suez, rate corresponds to over 5.000 USD a day.

5.000 tonne rebars from North Adriatic to Algeria nowadays quote around 26-28 USD a tonne for regular vessels while younger and well equipped vessels can get up to 30 USD a tonne. In the Western Mediterranean, 6.000 tonnes of cement was fixed from Setubal to Bejaia for as high as 21 EUR per tonne to a boxed vessel.

Good to note that non-boxed units were rejected on this shipment. In the Baltic, North Sea and Continent flow back to regions ports and brokers to Berlin based BMTI, this week, 4.000 to 5.000 tonne general cargo parcels from U.K. East Coast to Denmark got 11 EUR per tonne and 22 EUR per tonne to North Spain.

From Amsterdam-Rotterdam-Antwerp-Ghent (ARAG) range 3.000 tonne generals quoted 21 EUR a tonne to North Spain. Scraps from Baltic ports to Portugal and North Spain were seen fixing at around 26,5 EUR per tonne.

About ISTFIX

ISTFIX is an independent research company which since 2008 concentrates on 2.000 to 10.000 dwt bulk carrier / general cargo vessels trading across Black Sea - Mediterranean waters.

Reports are compiled from information and fixture data gathered from owners, brokers and operators in the region and are presented in good faith to provide an unbiased benchmark for this coastal trade market. For more information and to sign up for the weekly ISTFIX email please visit ISTFIX.com.

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