After 28 weeks, the freight market finally started to recover: the number of shipments is increasing and less spot positions are represented on the market.
The market of the Azov sea region is gradually «reviving», there is not yet a large number of cargoes on the market, but large companies are already actively sending grain cargoes, closing their obligations under the concluded contracts. Seeing the market revival, shipowners are asking for higher rates, which have reached the level of USD 18-19 this week for shipment 3,000 mtons of wheat from Azov to the Marmara sea ports.
In the Caspian region, freight rates from Astrakhan to NIP have dropped slightly from last week’s levels at USD 19-20 PMT for shipment 3,000 mts of corn.
Traders are waiting for a new harvest. Shipments from Russian river ports to Iran are planned to begin closer to end July. Before the start of the new season, the charterers actively calculate the price of shipments on the different trade directions, choosing the most profitable ones for the sales of goods in the new season.
Despite a slight upturn in the Baltic region over the last 2-3 weeks, the European market is now in recession again. This trend is related to the fact that European countries don’t know what to expect from the pandemic and whether to purchase coal/ore for their industries.
There has also been an increase in the number of shipments of fertilizers to ports in the Persian Gulf.
On the deep sea market there is an increase in freight rates. The price of 30k shipment from Novorossyisk to Mediterranean Sea ports is already apt USD 10-11,5 PMT. There has also been an increase in the number of shipments of fertilizers to Persian Gulf ports.