SSG No 10 - Shipgaz

MARKET REPORTS
Rates and fixtures week 19
Shortsea dry bulk market report
Baltic. The number of spot/prompt open
ships throughout whole Baltic clearly indicates
that the market has softened somewhat
in regards to activity and momentum.
Owners are still obtaining decent rates out
of the Baltic to the Mediterranean and the
Continent, but some destinations are
down in region of EUR 1 p/mt in the
3,000 mt size. 3,000 mt grains 45’ from
German Baltic to ECUK has been fixed at
EUR 15 this week compared to EUR
16–16.50 a few weeks back. Still good
demand in the scrap sector and ships in the
4,000 DWT + are still very difficult to
attract for this type of business.
Activity level: Mixed
Scandinavia. It has been a surprisingly
quiet week with very limited re-let activity
along the coast of Norway. Little agri-product
movements combined with holidays
and the Copenhagen Shipbrokers dinner
naturally brought activity down especially
in the latter part of the week. There have
been an increasing number of spot units in
the area this week with several ships
remaining unfixed for up to two days.
Owners have been trying to hold out for
that relieving cargo, but in the end many
decided to bite the dust and get their ship
fixed ahead with mixed results.
Activity level: Mixed
UK/Continent. The UK/Continental market
remains fairly active in all sectors, but
the number of prompt positions is making
brokers believe that the market has stabilized
presently. Still a good deal of agriproduct
movements from ARAG to the
UK, Scandinavia and Baltic and brokers
continue to struggle to cover their requirements
without pushing rates higher.
Charterers have been looking to fix
1,500 mt soyameal 58’ from ARAG to Ire-
Earning estimates past 12 months
EUR/day ■ 1,000–1,500 DWT ■ 1,500–2,000 DWT ■ 2,000–3,000 DWT
■ 3,000–4,000 DWT ■ 6,000–7,000 DWT
5,000
4,000
3,000
2,000
1,000
20
25
EARNINGS ESTIMATES ON T/C
BASIS PER DAY (MODERN, BOX)
Size This week Last week
1,250 DWT EUR 1,950 EUR 1,950
1,750 DWT EUR 2,200 EUR 2,200
2,500 DWT EUR 2,700 EUR 2,800
3,500 DWT EUR 3,650 EUR 3,750
6,500 DWT EUR 4,700 EUR 4,800
land around the EUR 16–17 p/mt level,
but this is causing little excitement among
owners who still have multiple options to
choose from. UK scrap exports remain stabile
with Spain as main taker still, but brokers
are probably seeing better tonnage
supply as owners struggle to secure returns
from French Bay and Irish Sea.
Activity level: Active
Mediterranean. Whole Mediterranean
region continues to boil with activity in all
sizes and sectors. Charterers are struggling
to attract tonnage for both inter Med and
returns to Northern Europe resulting in a
continuous strong market for owners in
this region. 3,000 mt steel parcels from
Turkey to ARAG/UK are still covered
MARKET SNAPSHOT
This week Last week
Brent USD 66.01 USD 66.26
MGO Rotterdam USD 575.50 USD 581.00
IFO180 Rotterdam USD 343.50 USD 358.00
around the EUR 40 p/mt mark, but brokers
are reporting of little further upward
pressure on rates since last week. Western
Mediterranean continues to see a limited
tonnage supply resulting in an increase in
rates for backhauls to Northern Europe.
Going rate for 6,000 mt minerals SC Spain
to North Sea remains in region of USD
16–17 p/mt.
Activity level: Active
Fixtures
– 5,000 mt minerals WC Norway/German
Baltic fixed EUR 6.00 p/mt
– 2,500 mt minerals Poland/Hamburg
fixed EUR 15 p/mt
– 5,000 mt scrap DWT Lower Baltic/SC
Spain fixed EUR 29 p/mt
norbroker shipping & trading as,
flekkefjord, norway
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92 SCANDINAVIAN SHIPPING GAZETTE • MAY 21, 2007
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