EMEA News
Istanbul Freight Index: 2014 Week 4
Freight rates appeared to have pared drops this week as ex-Black Sea shipment quotes remained largely stable.
Owners and brokers noted the end of downward trend, which might be reversed next week.
Mariupol - Marmara coal cargoes offered about 18-19 USD per tonne on 5.000 tonne basis this week more or less the same as last week.
A broker reported one 5.000 tonne Mariupol- Turkish Black Sea coal parcel with fast loading terms at 17 USD a tonne which was significantly better than 13-15 USD per tonne seen last week.
Novorossiysk – Marmara 3.000 tonne steel cargoes were seen at 17-18 USD per tonne while 2.000 tonne steel parcels went for around 23-24 USD per tonne from Novorossiysk to Aliaga this week.
7.000 tonnes of pig iron offered from Mariupol to Porto Marghera was seen quoting 35 USD a tonne with reasonable loading/discharge terms. The cargo was slightly better and favourable than low-30's seen last week for this segment.
In the Adriatic, this week a 5.000 dwt very modern vessel booked 2.500 tonnes of very high stowage forestry products from Koper to Tunisia and combined the cargo with 1.500 tonne parcel of lumber to Libya.
Overall the vessel earned nearly 115.000 USD lump sum, averaging nearly 22 USD per tonne two ports basis. Normally east- bound ex-Adriatic steels to Marmara nowadays offer 15-16 USD per tonne, only 2-2,5 USD per tonne above all time lows observed last summer.
Algerian demand for cement reportedly resumed, however rates are still. Portuguese cements in 5.000 tonne parcels are still shipping around 24-25 USD a tonne whereas North Spanish cargoes to Algeria were offering 27- 28 USD per tonne. These rates refer to roughly 20-21 EUR per tonne, same as two weeks ago.
As for a larger shipment 8.000 tonnes of sugar from Bejaia to Libya was offered at 34-35 USD a tonne. At first sight the rate could seem rewarding but dead-slow loading/discharge and almost guaranteed risk of running into cargo shortage claims make owners think twice before fixing.
Finally in the Baltic, Continent and North Sea, poor weather stems cargo flows, while lack of ice in the Baltic apparently permits high tonnage avails, keeping the pressure on freight rates.
Nevertheless, daily earnings of vessels added 200 to 300 EUR per day compared the previous week. 5.000 tonne general cargoes from Amsterdam-Rotterdam-Antwerp-Ghent to North Spain currently quote 23 EUR per tonne according to Berlin based BMTI. Last week, similar cargoes from Baltic were offering same rates, which means there is a slight improvement.
