25/08/2021

On the 34th week, the freight rates in the Azov-Black Sea region continue to grow rapidly. Thus, the rate for a shipment of 3000 wheat from Azov to Marmara sea ports is USD 48 pmt. Such an increase was recorded at the end of last week, when there was a very large amount of cargoes on the market, and shipowners were in no hurry to work vessels for September dates, thereby heating up the freight market.

Shipowners’ offers for the Marmara Sea reached
USD 50-51, but at the beginning of this week it became clear that such a rapid increase in rates would inevitably slow down, due to the impossibility to conclude sale contracts with such a high logistics component. Moreover, most charterers note a sharp drop in activity amid expectations of a sharp increase in export fees on wheat and barley next week.

It should also be said that in conditions of extremely high rates, shipowners prefer short voyages, often refusing even cargoes to the Sea of Marmara and preferring ports of discharging on the Turkish Black Sea. For this reason, the search for vessel to such destinations as Italy, Greece, Izmir or Mersin causes great difficulties. The rates for these directions are growing even faster than for the Marmara Sea.

Regarding shipments from the Russian river, there is still an almost complete absence of cargo, due to the reluctance of cargo owners to sell their goods.