Negative sentiment prevails on Black Sea Handysize market

Activity remains quite limited in the Black and Mediterranean Seas even after the end of holidays; particularly this applies to the Handysize segment as demand for Supramax/Ultramax vessels looks a bit healthier thanks to regular clinker shipments. The list of open Handysize and Supramax ships is growing gradually (around 80 vessels are now open for 2H May within the area), which does not allow owners to raise rates. As of now:

• A couple of inter-Med deals for standard Handysize fleet bss dely passing Canakkale via CVB or Turkey are still discussed at $8-9k daily;
• Rates for a trip from TurkMed to the Continent by a 34k dwt vessel are negotiated at $9k daily, while a 32k dwt carrier has been chartered even below $9k daily bss dely passing Canakkale via CVB redel Continent/UK;
• Supramax owners are getting $14-14.5k daily for clinker trips from EMed to WAfr, while the deal for an Ultramax ship bss dely Port Said redel Dakar has been signed at $15k daily;
• A couple of clinker trips from WMed to WAfr are discussed at $15-16.5k daily;
• A 60k dwt Ultramax vessel has been chartered at $13k daily bss dely EMed redel USG;
• Meanwhile, the deal for a bulk cement run by another Ultramax carrier bss dely EMed redel USEC has been signed at rather strong $17k daily;
• With still very low front-haul activity and higher interest from owners in repositioning to the East, front-haul rates have inched down to $25-26k daily bss dely passing Canakkale via Suez and to $21-22k daily bss via COGH.

On the voyage basis:

• A couple of charterers offer mere $22-23/t for shipment of 30,000 t of corn from POC to the Italian Adriatic with 6,000x/4,000x l/d rates and 15-20 May laycans, which means mere $7.8-9.3k daily bss dely psg Canakkale in case of $80-120k of EWRI or $11-12k daily in case of no EWRI;
• Traders are ready to pay $25/t for transportation of 30,000 t of corn (sf 50`) from POC to Sfax given 8,000x/5,000x l/d rates and mid-May laycans, which is equivalent to $11-12k daily bss dely psg Canakkale for a 34-35k dwt vessel (in order to meet draft restrictions) in case of $90-110k of EWRI or to $14.5-15.5k daily in case of no EWRI;
• 25,000 t of corn (sf 50`) are offered for shipment from Chornomorsk to Tarragona at $24/t given 5,000x/6,000x l/d rates and late May laycans, which hardly reaches even $8k daily bss dely psg Canakkale in case of $70-90k of EWRI and $10.5-11k daily in case of no EWRI;
• Brokers suggest $25-25.5/t for transportation of 27,500 t of wheat (sf 47-48`) from Chornomorsk to SpanMed given 8,000x/6,000x l/d rates and 17-20 May laycans (equivalent to $10-10.5k daily bss dely psg Canakkale in case of $90-110k of EWRI or to $14-14.5k daily with no EWRI);
• Spot shipment of 40,000 t of corn from POC to La Coruna with 10,000x/6,000x l/d rates is estimated by ISM at $27-28/t;
• Large Ukrainian exporters target $22/t for transportation of 27,000 t of corn (sf 49`) from Odesa to EgyptMed given 6,000x/5,000x l/d rates and 17-23 May laycans, which gives the TCE of $8-8.5k daily bss dely psg Canakkale in case of $80-100k of EWRI and $11.5-12k daily in case of no EWRI.

As for non-Ukrainian grains and other cargoes:

• Grain traders are ready to pay mid-high $20s/t for shipment of 25-30,000 t of wheat from Kavkaz roads to Morocco with 7,000x/5,000x l/d rates bss 1/1, which is equivalent to $12.5-13.5k daily bss dely psg Canakkale for vessels with no EWRI required;
• Brokers suggest around $20/t for transportation of 30,000 t of wheat from Novorossiysk to Alexandria or Iskenderun given 8,000x/5,000x l/d rates (equivalent to $12-13k daily bss dely psg Canakkale for vessels with no EWRI required);
• Large grain traders are ready to pay at best $17.5/t for shipment of 30,000 t of wheat from CVB to SpanMed with 8,000 sshex bends l/d rates, while owners are seeking to get at least $18.5/t;
• The deal for transportation of a small Handy lot of steel billets from Marmara to ARAG ports is negotiated at $30/t given a 3,000 sshex discharge rate, which gives the TCE of $11k daily for a 23k dwt vessel bss dely Aegean;
• Carrying 50,000 t of urea from EgyptMed to WC India is quoted by ISM at low $30s/t bss 1/1;
• Shipment of 20-30,000 t of sulfur from Poti to Morocco is estimated by ISM at high $20s/t.