« 38,000mt Ust-Luga to Santos rated by owners at $7/mt when charterers having in mind $4/mt ». $4/mt means total freight at $152,000 for a 6,500 nautic miles & 32/33 days trip. This must be a typo mistake. The biz is seen here asf « 38000 M/M BLK SULPHUR APP CUST LUGA / SANTOS 25-27 AUG 12000 SHINC / 12000 SHINC 5pct ttl com». $7/mt gives a time charter rate below $0 (so owners paying charterers to have the privilege to carry the cargo). Santos destination might be one the day place to go, place to be but Continental/baltic handy market is far from being close to $0. Scrap from North continent to Emed on similar ships are worth $9,500 or so.
So would make sense to believe chrtrs talking $14/mt (which would equate to $7,000 daily) when owners asking $17/mt, (which would equate to $10,500 daily dely Skaw). This seems bit more realistic figures. Then who’s the most realistic between owners asking above $10k daily or charterers offering $7k daily ? I’m tempted to easily say, both are showing to much ambition and the truth shall be somewhere in between. But you know I’m a broker, that might explain this (very insightful) sentiment.
Further south, ex continent, Grains charterers willing to secure ships in the $5,500/5,750 daily basis dely Gibr via French port to Wmed, when owners are more into $6,000/6,250 mood (this is only $1pmt difference, still $1pmt difference.
Further East, ex Black sea Peas are fairly popular out there, to be sent to India which is not the ideal destination for owners, hence they’re asking for big premuim to end up filled in with Aaloo Mattar ingredients. Here the gap is from $9,000 daily to $14,000 daily, being something like $10 pmt gap. Indians may have to pay up a bit their daily bread and butter.
Black Sea, if we take as right 35,000 grains ex Constanza to ARAG seeing something close to $14.50, this would lead to a time charterers equivalent remainig in line with the last done, ie somewhere around $7,000/7,250 daily dely Canakkale.
Further East, far East to name it, finally, handies are not badly positioned there as they seems to be getting $7,000/7,500 daily which is finally not much worst than Atlantic trades.
To give you some good reading while I’m enjoying a couple of weeks off, you can read the below.
- If you’re wondering if seaborne drybulk market in 2016 moved 4,86bn or only 4,34bn tons you will not find the answer here but some good insight : http://mrprospector.co.uk/ (I always like when I read people daring to challenge Clarksons and SSY).
- If you’re wondering what are the plans for the richest man in Africa, and you’re willing to have bit more insight about his willingness to by Arsenal and fire Mr Wenger, you can read this mr Dangote interview here. Sure some of his plans will impact the shipping industry https://www.bloomberg.com/features/2017-aliko-dangote-interview/
- If you’re wondering what Amazon’s doing in shipping business, you can get some inspirational information here http://blogs.platts.com/2017/08/18/amazon-maersk-clash-titans-container-shipping/
- If you’re wondering who you should get in touch with @ Pelagos in the 2 weeks to come, just dial +33 1 30 09 —– and ask for Jean-Charles or Alexandre, the fixing machines. You can also ask for Damienne our post-fixing machine. (they’re not robot and don’t bite). (for the full number, contact me privately on twitter @jeromesorrel or on this blog or on linkedin.
Have a nice end of day.