Bulk shipping freight rates have gone up as shipments of coal and iron ore went higher along the key Asian routes.
With high demand for iron ore, shipments have increased, leading to gains in the freight rates. Moreover, rising coal demand in China also have resulted in demand for vessels going up, pushing up freight rates.
Current freight rates (coal cargoes)
| Route | Supramax | Panamax |
| Australia to India | 13.5 | 12.5 |
| South Africa to India | 11.5 | 10 |
| Indonesia to India | 7.5 | 7 |
Current freight rates (iron ore cargoes)
| Route | Supramax |
| India to China | 8.5 |
Freights in USD/MT
Source: CoalMint Research
The Baltic Dry Index has climbed upto 875 points, as on 24Feb’17, due to the higher demand for cargo vessels. The index is an indicator of the global movement in freight rates, in respect to all classes of vessels, transporting all kinds of commodities, including coal and iron ore.
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