Bulk shipping freight rates are speculated to move down the next week as trading activity will shrink further on account of the festive season driving away market players from business.
The bulk shipping market has turned sluggish as demand for cargo vessels turned dull due to the festive season setting in.
The imminence of the Christmas has softened trading activity, weakening demand for cargo vessels.
Cargo shipping freight rates have remained almost at the rates assessed the week last.
Current freight rates (coal cargoes)
| Route | Supramax | Panamax | Capesize |
| Australia to India | 13.5 | 11.5 | 10 |
| South Africa to India | 11.5 | 11.5 | 8 |
| Indonesia to India | 7 | 8 | 6 |
Freights in USD/MT
Source: SteelMint Research
Current freight rates (iron ore cargoes)
| Route | Supramax |
| India to China | 8.5 |
Freights in USD/MT
Source: SteelMint Research
The Baltic Dry Index has exhibited a declining trend owing to the prevalence of soft demand for cargo vessels. On 16Dec’16, the index was reported lower at 946 points. The index is a measure for global movement in cargo vessel freight rates in respect to all classes of vessels, transporting all kinds of commodities, including coal and iron ore.
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