Extremely low demand puts further pressure on Black Sea small-tonnage freights

An already slow activity has additionally inched down in the Black Sea this week. Most market players from Muslim countries are still away from desks amid Eid al-Fitr holidays. With plenty of open vessels around, freight rates keep sliding down:

• The deal for shipment of 6,000 t of wheat from Izmail to Alexandria has been signed at extremely low $28/t, which hardly reaches even $2k daily in TCE bss RV in case of 3-4 days of waiting time for in + out at Sulina and 3-4 days for in + out at Bosphorus for vessels with no AWRP required;
• 6,000 t of corn are carried from Izmail to Alexandria at $30/t, which means $2.1-2.2k daily in TCE bss RV;
• The deal for transportation of 5,000 t of barley from Reni to Cyprus has been agreed at $30/t, which is equivalent to $1.9-2k daily bss RV;
• Another biz for 5-5,500 t of grain of 2 different grades towards Cyprus has been also concluded at $30/t;
• 3,000 t of corn are offered for shipment from Izmail to EC Greece at $25-26/t, while owners are seeking to get at least $27/t;
• Charterers already target $20-21/t for transportation of 5-6,000 t of wheat from Reni to Marmara, while owners are seeking to get at least $22-23/t (equivalent to $1.6-1.9k daily vs. $2.1-2.4k daily bss RV);
• Brokers suggest $27-28/t for shipment of 10-12,000 t of wheat from Odesa or Chornomorsk to Mersin or Lebanon, which is equivalent to $3.5-3.8k daily bss RV in case of $20-30k of AWRP;
• Charterers are ready to pay $29/t for transportation of up to 8,000 t of agri products (sf 66-67`) from Odesa to Marmara given 1,500 sshex bends l/d rates and late April laycans, which corresponds to low $20s/t bss 10-11,000 t of heavy grain;
• The deal for shipment of 7-8,000 t of corn from Chornomorsk to the Italian Adriatic is discussed at $30-31/t, which gives the TCE of $2-2.3k daily bss RV in case of $15-20k of AWRP.

As for other cargo flows:

• Charterers are ready to pay $20/t for transportation of 3,000 t of wheat from Constanta to Kalamaki, while owners are seeking to get at least $22-23/t (equivalent to $1.2k daily vs. $1.6-1.8k daily bss RV);
• Owners are seeking to get high $30s/t for shipment of 7,000 t of wheat from Bulgaria to Morocco, while charterers target low-mid $30s/t (equivalent to $2.7-3.1k daily vs. $2.1-2.5k daily bss RV);
• The deal for transportation of 3,000 t of urea from Poti to Kiliya is discussed at $26/t;
• Steel charterers already target $18-18.5/t for shipment of 5-6,000 t of billets from Novorossiysk to Marmara, while owners are seeking to get at least $20/t (equivalent to $2.1-2.4k daily vs. $2.7-3k daily bss RV for vessels with no AWRP required);
• Brokers suggest $15/t for transportation of 5,000 t of coal from Novorossiysk to Samsun and mid-high $20s/t for shipment of 8-9,000 t of fertilizers from Tuapse to Iskenderun;
• Carrying 4-5,000 t of HRC from Bartin to Algeria is estimated by ISM at low $30s/t.