16/09/2020

On the 38th week we can note a slight decrease in trade and freight rates in Azov Sea region. For instance, freight rate for 3000 MT of wheat from Azov to Marmara is around USD 22 pmt. Moreover, most of the owners prefer to take short voyages in order to not sail far away from Azov sea ports and have an opportunity to perform more shipments. However, we can also see cargoes, which are going to Greece, Italy, Durres, but freight rates for these directions are higher as there are not a lot of owners who are willing to take such cargoes.

Hight freight rates are stable for voyages from russian river ports to Black Sea and Marmara. For example, freight rate from Saratov to TBS have gone up to USD 52-53 PMT.

Caspian Sea region is also remaining pretty calm. Charterers are actively developing contracts for October dates, unfortunately shipping lots are accumulating very slowly, that is why it is very hard to predict when the market is going to increase again as it statistically does. The situation should change thanks to Kazakstan, where the wheat and barley export volumes are going up.

As for Baltic see region, we can also see a decrease on the short sea market. For the time being, there are becoming less and less grain shipment, but on the other hand, there are poping up more and more coal shipments for the end of September/ beg of October. The demand for coal can be explained by reopening of a lot of European factories.

However, on the deep sea market in Baltic, the freight rates for Supramax and Ultramax are increasing as there are a lot of scrap, coal, fertilizers cargoes.

On the Black sea, the amount of shipments is not a lot because of the high sale prices for wheat and coal and because of increasing freight rates for Handy, Supras, Ultras. Yet, we can trace a relatively high interest for handies to Egypt, which can be explained by a demand for grain from Arab buyers.