The softening trend that emerged on the Black Sea small-tonnage market last week has continued and even strengthened. Spot vessel list is growing; especially this applies to owners seeking to work ex Danube ports at incredibly high rates.
Deals for shipments ex Danube ports are concluded on very different terms regarding waiting times (some charterers are ready to compensate for 10 days of downtime, others for 5 days, etc.). Most traders gradually try to cut rates, refusing to repeat the levels seen in the previous 2 weeks:
Some charterers have paid $150/t to ship 6,000 t of wheat from Reni to Egypt (equivalent to at least $15k daily bss RV even with full waiting time on owner’s acct); however, most traders are not ready to pay more than $120/t on this route;
The deal for transportation of 5-7,000 t of corn from Reni or Izmail to the Marmara Sea has been signed slightly above $100/t, another one – at a strong $110/t (and with only 5 days of waiting time on owner's acct, which gives the equivalent of $16.5k daily bss RV);
At the same time, charterers have managed to sign the contract for shipment of 5,000 t of corn from Reni to the Marmara Sea at mere mid-$90s/t with 10 days of waiting time on owner’s acct, which is equivalent to $8-8.5k daily bss RV;
Charterers are ready to pay $112/t for transportation of 3,800 t of soybeans from Reni to Constanta and $140-145/t to Mersin, which is equivalent to $9-9.5k daily bss RV even with full waiting time on owner's acct;
Traders are ready to pay at best $170/t for shipment of 2-4,000 t of seeds (sf 85-90`) from Izmail or Reni to the Marmara Sea, which corresponds to high $90s/t bss 5-5,500 t of heavy grain.
Shipping rates from Bulgaria, Romania, Georgia and Turkey are also sliding down, although the port of Constanta is barely covering the current cargo traffic:
Charterers are ready to pay about $90/t for transportation of 2-4,000 t of seeds (sf 85-90`) from Braila to the Marmara Sea, which corresponds to $50-55/t bss 5-7,000 t of heavy grain;
Grain traders are ready to pay $45/t for transportation of 5-6,000 t of wheat ex Constanta to Ravenna given 2000 sshex bends l/d rates and 2H Jun laycans, which is equivalent to $4.3-4.6k daily bss RV;
3-4,000 t of wheat are carried from Varna to the Marmara Sea at $28-29/t, which is equivalent to $4.3-4.6k daily bss RV;
The deal for shipment of 5,500 t of agri products (sf 84`) from Varna to the Marmara Sea is discussed at low $40s/t, that to Mersin at $70/t, which corresponds to $24-25/t and about $40/t, respectively, bss 9-9,500 t of heavy grain;
At the same time, brokers suggest $35/t for shipment of 6,000 t of corn from Constanta to Mersin, which is barely equivalent to $4.5k daily bss RV;
The contract for transportation of 3,000 t of salt in bb from Eregli to Azov has been concluded at $22/t;
1,700 t of construction cargoes in big bags are carried from Bartin to Azov at very high $20s/t;
Owners are seeking to get more than $40/t for shipment of 5,000 t of steel products from Batumi to Bulgaria with 1,500 sshex bends l/d rates, which is equivalent to about $8k daily bss RV.
The cargo traffic from Russian ports has relatively stabilized:
Charterers are ready to pay at best $33/t for transportation of 5-8,000 t of wheat from Novorossiysk to the Marmara Sea;
Brokers suggest low-mid $40s/t for shipment of 10,000 t of steel products of different grades from Novo to EgyptMed and high $40s/t to Sfax given 3,000 sshex l/d rates and prompt laycans.