In the Baltic deep sea market, freight rates are increasing for Handy/ Panamax vessel types, which are going to China, because of the upcoming Chinese New Year and related holidays. According to Sea Lines shipbrokers, a lot of owners are losing profitable business because of China’s intensions on prolonging the ban for importing iron ore and coal from Australia.
Furthermore, the news that China is successfully shipping coal and ore from South Africa, Sierra Leone, other West African countries and from Russia gives Australia small chances to renew old relationships, but an opportunity to look for new markets such as India and Persian Gulf countries.
On week 6, freight rates for 30,000-35,000 dwt bulkers from Ust-Luga continued an upward trend.
Thus, rates on the Ust-Luga – Continent – Ust-Luga were $23 pmt, rates from Ust-Luga to North Spain were $25.5 pmt, and those to Casablanca were $27.25 pmt.
Rates from Ust-Luga were $33 pmt to West Med rates, and $35 pmt to East Med.
Rates for 30,000-35,000 dwt bulkers from Ust-Luga to the Black Sea amounted to $37 pmt.
In the Baltic shortsea market, more cargoes continue to appear in spot positions in various directions. However, charterers are experiencing difficulties finding vessels, as a large percentage of the fleet is under contracts until the end of February or leaves the Baltic for the Bay of Biscay.
In terms of rates, from the ports of the inner Baltic, such as Tallinn and St. Petersburg, the level is much higher than on the previous week, as due to the cold and ice conditions, ship owners have to stay there longer. Most of them even tend to refuse cargoes in the Gulf of Finland for the next 2-3 weeks, Sea Lines report.
Rates for shipments from ports west of Riga decreased slightly due to the large choice of tonnage in that region. As during the previous months, the most popular destinations are voyages from Poland and Lithuania to ARAG and Great Britain. There is a special demand for 6-8k vessels for grain from to Spain and Portugal. The rates for Portugal range from 27 to 31 euro per ton due to the unfavorable weather in the region and a small choice of cargoes returning to the continent.
On week 5, freight rates for smaller bulkers from Ust-Luga moved upwards.
Thus, rates from Ust-Luga to Riga made €19 pmt. And those to Gdansk were €20 pmt.
Freight rates from Ust-Luga made €24.5 pmt to Szczecin, €27 to Flensburg, and 29 to Hamburg.
Rates from Ust-Luga were €31.5 pmt to ARAG, €41 pmt to East Britain, €42 pmt to West Britain, and €43 pmt to Dublin.
Please note that the rates cited in this article are average market rates. We ask our readers to pay attention that this information is not a commercial offer and cannot be an example for comparison in commercial disputes and arbitration.