Despite the Black Sea market entering a new grain season the freight
rates for grain transportation from Ukraine have not changed significantly in
all DWT segments. The Panamax owners hold rates steady while Handysize freight
rates faced some decline due to a shortage of fresh cargo orders and still wide
choice of corresponding tonnage in the Black and Mediterranean seas. Freight
rates in the Coaster segment are positional; owners have managed to slightly up
rates mostly in terms of Israeli and European ports destinations while those to
Turkish ports stay at last done levels. It is worth noting that the cargo flow
to European ports has perked up from mid-July but still more cargoes are needed
to see sustainable rates increase on the market. Meanwhile, barge freight rates
have inched down amid the absence of fresh cargo orders from Ukranian Danube
ports.
As per information from Atria Brokers’ freight department, for coasters, the freight of 5-6k DWT vessels with corn from Ukrainian Danube ports to Marmara and EC Greece stay unchanged at 18-19 USD/MT and 20-22 USD/MT respectively. Meanwhile, in terms of East Med destination corresponding rates have firmed up by 1 USD/MT to 22-24 USD/MT. The freight of coasters to Israeli ports has increased by the same 1 USD/MT to 29-30 USD/MT. The freights have also perked up by 1 USD/MT in terms of East Coast Italy and Spain destinations; corresponding rates increased to 27-28 USD/MT and 29-30 USD/MT respectively.
More information about freight rates from Ukrainian ports for Panamaxes, Handysizes and Barges you can find at ASAP's report for the UGA via link below
https://uga.ua/statistika-frahtu/
Related Products
1 Comment(s)
We have observed an increase in freight rates for coasters this week compared to last week. The recent mobilization law has led to thorough checks of Ukrainian crew members, with those registered/ unregistered for Ukrainian army service being drafted into the military. Given that 50% of coaster crews are composed of Ukrainian nationals, vessel owners are now facing challenges. They are attempting to replace Ukrainian crew members with nationals from other CIS countries to address the shortage.
I think the decreased availability of Ukrainian sailors will not cause a limited supply of crew candidates across the entire Black Sea market and won’t lead to any possible shortage of fleet. Yes, owners are faced with another headache, unfortunately, which will most likely lead to unexpected expenses for them. However, this is not a factor that will change the trend in the market. We do not see any freight increase as of now. Rates are holding steady, and in order to speak about any increase in the market, we should see positive shifts on the fundamentals side: an increased flow of new cargo orders or considerable decrease in fleet availability in the region. Pavlo Lysenko, freight analyst, ASAP Agri
Leave a Comment