Shipping Podcasts finalists for Maritime Media award

Review of the dry cargo shipping markets for week ending Jan 18

By • Jan 21st, 2013 • Category: Dry Cargo

The Coracle Online Dry Cargo podcast for Jan 18, 2013 in association with The Baltic Exchange

To learn more about the dry cargo chartering market, why not take Coracle’s Dry Cargo Chartering course?

This podcast comes from Coracle – myCoracle.com

Thanks for downloading the dry cargo market report from Coracle Online and the Baltic Exchange for Jan 18th 2013. This report looks at the Capesize and Panamax and Supra markets.

Have you subscribed to The Daily Draft from Coracle in the past? Did you know that it has been updated and now joins some other free email courses on SeaVision.org.uk ? Why not go and discover some new maritime facts today!

Starting with the Capes and the market was moving at a reasonable pace as the week drew to a close, with Australian miners in the market and Rio Tinto fixing 4 ships for end January-early February at $7.45. By Friday many were suggesting that rates should move higher, but it emerged that BHP Billiton had taken a couple of ships at $7.25. A rumour then emerged that Rio Tinto secured tonnage at $7 at a time when some ships were again heading off in ballast towards Brazil, with that market firming.
There was unconfirmed talk that a Chinese controlled vessel with ETA end January Tubarao agreed a sharply higher $20 for Qingdao with Vale. Tonnage also tightened in the North Atlantic, culminating in a rumour that a 171,000 dwt vessel spot Cape Passero agreed $10,750 daily for a Hampton Roads/Turkey cargo with redelivery Cape Passero.

The market for panamaxes is largely weak, though it does have some pockets of resistance. In the Atlantic tonnage has tightened with some activity from the US Gulf and east coast South America for trips to the Continent or Mediterranean keeping rates steady. Much of the business has been done on a voyage basis, but rates have improved slightly over the week, while timecharter rates hovered around $7,500 to $8,000 daily plus $300,000 bonus or a touch more. Fronthaul trading has largely been focussed on the US Gulf, with ships coming from the East. Rates were around $13,500 to $14,000 daily plus a $400,000 bonus. Interest remained from east coast South America for grain cargoes for Eastern discharge, but charterers were aiming for a discount on early ships and a stand-off emerged.

In the East, a fair number of ships have been fixed but rates largely remained flat. Ships heading off to South America could lend some support, but the market still needs a significant injection of new business, particularly for ships further north.
 
Fortunes for the smaller ships are mixed in the Atlantic, with the jury out as far as future direction is concerned in the US Gulf. The market for early tonnage for trips to the Med-UK-Continent was steady at around $14,000 daily for the UK-North-West Europe discharge.

The South Atlantic was said to be significantly firmer, but there was little actual evidence for this. There was a report of a Tess 45 type in ballast from Lagos being paid something close to $19,000 daily for a long duration trip of about 60 days with sugar from Brazil to Singapore-India range – if true, this would be a healthy level for this category of vessel.

Handysizes have prospered rather better from South America as the number of committed ships in Brazil dwindled considerably. By contrast, most of the evidence in the East pointed to an easier market for supras.

Thanks for listening