On week 17, there is a sharp decrease in freight rates in the Azov and Black Sea region. The freight level for shipment of a 3K parcel of wheat from Azov to Marmara sea ports has reached the level of $63 pmt.
Many charterers and shipowners expect that the Russian May holidays will be marked by a further reduction in freight to the level of the average 50ies, Sea Lines shipbrokers report.
The number of cargoes in the market is small, as the demand for grain from Turkey remains low. More requests appear for the Italian direction.
Despite the opening of navigation on the Russian river a few weeks ago, this direction still remains unpopular. So far, major players in the grain market, traditionally actively buying grain from the Volga region, do not express interest in buying goods from this region.
At the same time, the remnants of last year’s harvest are still not exported, and some companies plan to start shipping them in late May and early June, primarily to the Marmara Sea ports and Mersin.
According to Sea Lines, on week 17, freight rates for wheat parcels from Azov made $61 to the Black Sea, $63 to Marmara, $77 to Mersin and $78 to Egypt.
Freight rates from Rostov AB (after bridge) are $1 above, from Rostov BB (before bridge) the same, from Yeisk and Taganrog $1 below, and from Temryuk $3 below those from the port of Azov.
In the Caspian, freight rates remain on the previous week’s level.
On week 17, freight rates for shipping corn by 3,000 dwt bulkers to Iran make $21 from Aktau, $26 from Makhachkala, and $31 from Astrakhan.
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.