What’s up for today ?
By now you shall be well connected in the shipping world and you shall be able to grasp great info on all the digital networks you’re on. No need to paraphrase what’s written by the pros but in summary :
- Capes rally seems to be over
- Panamax moving from exciting to boring
- Supras owners getting tanned under the sun
- Handy owners getting close to the sun, hope none of them are called Icare.
To start with today’s market comment, I have to release the whole pressure, I can feel you’re fairly tense. YES I did get the subs confirmed hence we are now clean fixed. Thanks for worrying so much, your empathy goes straight to my heart. Having said this,my yesterday’s market comments has been quite contreversial with few reactions coming from Owners, charterers and brokers. (if you missed yesterday’s report, please find it here failing on subs could be a strategy? Nooo!
- One Owners challenged the « A1 first class» concept for the charterers I was on subs with. To make it clear, I will never say from any owners nor any charterers nor brokers, that they are « A1 » or « first class ». Things can change so quickly in our industry that such statement might be right at the time of fixing and completly wrong at the time of settling the account. And the reverse is right also. Poor performer on the winter can become great ones the next summer. To my opinion, only Chuck Norris could be awarded « A1 first class ». In the event he wants to come to give a hand to our Industry. Chuck, if you’re reading me.
- Another Owners, made this comment about the subs and the concept of failing on subs, which please find below Qte “subs is just a misfunctioning of the shipping markets. chrtrs MUST check a vsl workability before even finalizing main terms (not to say before even starting negos). the ‘subs system’ should simply be declined by owners. It is just a FREE OPTION (in the sense of cost-free) in the hands of chrtrs. But in economics, an option has a value which must be rewarded by a price. Unfo chrtrs don’t pay for such a price.” uqte
On which I would just make couple of comments :
- The sub concept has been in the industry for a while, it’s now a common practice, Owners challenging or even unwilling to work with subs might have some troubles nowadays to enter into a firm nego.
- « Charterers don’t pay for such a price» : in the meantime, why would they pay for it if they can have this option for free from another Owners’ competitor ?
I’m not saying it’s a good or bad thing, I’m just mentionning a fact. If you’re willing to know more about these subs, you can have a look here subjects are the subject
- Another Owners challenged my calculations Voyage / TCE on this Cofco requirement (Pallice tunisia), after discussing with him and sharing our point of views, we are still appart on the time charter equivalent by some US$ 1’000 daily (which is not peanuts). We are also in the agreement, charterers initial ideas at 18usdpmt are close to US $3’000 daily short versus what they see from the market. (and I have been given to understand, Cofco finally decided to dig in their pockets to come close to owners ideas).
- Finally, a friend broker just thanked me for sharing these (almost) daily reports, quote unquote again « […]Fantastic report as usual ! I love it. Your report Is always my small book to read before I go to bed. Thank you very much for sharing this with us[…] ». I’ m sure, once in bed he is reading all Jane Austen’s work, as we all do in shipping right ?
All in all, it’s a pleasure to send you on regular basis these reports, it’s also a pleasure to get reactions back from all of you. Whether it’s positive/negative/challenging/love declaration. I take everything. Don’t hesitate neither to drop me information on what you see/do/hear on the market. Promised if some figures coming to me, I’ll make sure not to report them quote/unquote.
Have a nice afternoon/day.