Spot Handysize & Supramax TCT rates stay at the very bottom in Black Sea

The market of the Black and Mediterranean Seas remains extremely silent despite the end of long Eid-al-Adha holidays and the start of a new grain season. With lack of fresh inquiry (both for spot dates and 2H July-1H August) and very long list of open vessels, TCT rates for Handy trips stay at the very bottom, while Supra levels are even under further pressure:

• Several inter-Med deals for 30-34k dwt vessels bss dely APS CVB are discussed at $5.5-6k daily, which corresponds to $4-4.5k daily bss dely psg Canakkale;
• Front-haul rates for Supramax fleet bss dely passing Canakkale are hovering at $10-10.5k daily, while those towards WAfr hardly reach even $7k daily bss dely APS EMed or WMed.

However, owners try to get higher voy-bss rates for 2H July and August shipments amid the upcoming grain season. Despite still almost no signs of recovery, some traders agree to pay a bit more. Thus:

• Charterers offer $19/t for shipment of about 30,000 t of agri products (sf 53`) from Constanta to ARAG ports given 5,000x/7,000x l/d rates and 2H July laycans, which is equivalent to $5.5k daily bss dely psg Canakkale or to $7.3k daily bss dely APS Constanta;
• Meanwhile, brokers claim some owners have succeeded to get low $20s/t for a similar shipment, which means well more than $7k daily in TCE bss dely psg Canakkale;
• Other traders are ready to pay up to $20/t for transportation of 25,000 t of wheat from Varna to Safi given 5,000x/4,000x l/d rates and spot laycans, which is equivalent to $7.5-7.8k daily bss dely psg Canakkale;
• On the other hand, another deal for shipment of 30,000 t of wheat from CVB to Morocco with standard 8,000x/5,000x l/d rates and spot laycans is negotiated at $15.5-16/t, which is equivalent to $6.3-6.7k daily bss dely psg Canakkale;
• The contract for transportation of 25,000 t of wheat from Kavkaz roads to Tunisia is discussed at $23-24/t given 8,000x/2,250x l/d rates and late July laycans, which is equivalent to quite strong $10-10.5k daily bss dely psg Canakkale for vessels with no AWRP required or to $7-8k daily with AWRP on owner’s acct.

As for long-haul trips:

• Traders target high $20s/t for transportation of 25-28,000 t of wheat from Constanta to Colombia bss 1/2 with 8,000x/3,500c l/d rates, while owners are seeking to get low $30s/t, which is equivalent to $5.9-6.3k daily vs. $7.5-8k daily bss dely psg Canakkale;
• Carrying 30,000 t of wheat from CVB to Indonesia is estimated by ISM at very high $30s/t bss 1/1 with 8,000x/5,000x l/d rates, while shipment of a 50,000 t stem is quoted at low $30s/t bss 1/1.

Apart from grains, only fertilizer offers are entering the market these days:

• 28,000 t of fertilizers are carried from Ashdod to Santarem at mid-high $20s/t given 8,000x/4,000c l/d rates;
• Brokers suggest high $30s/t for shipment of 30-40,000 t of fertilizers from Tunisia to Bangladesh in late July;
• Charterers are ready to pay $25-26/t for transportation of 20,000 t of fertilizers from Iskenderun to Dakar given 3,000c/2,500x l/d rates and 21-31 July laycans;
• Shipment of 20,000 t of urea from Damietta to Avonmouth + Newport is estimated by ISM at $28-29/t bss 1/1 with 6,000x/2,500x l/d rates and 15-18 July laycans.