Bulk shipping freight rates are expected to remain at the prevailing rates as demand is not expected to change in the coming days.
In fact, demand for cargo vessels will soften during the Chinese New Year holidays. Moreover, there is also an over-supply of cargo ships vis-à-vis demand.
Current freight rates (coal cargoes)
| Route | Supramax | Panamax | Capesize |
| Australia to India | 13 | 10 | 8.5 |
| South Africa to India | 11 | 10 | 8 |
| Indonesia to India | 7 | 7 | 5 |
Freights in USD/MT
Source: CoalMint Research
Current freight rates (iron ore cargoes)
| Route | Supramax |
| India to China | 8.5 |
Freights in USD/MT
Source: CoalMint Research
The Baltic Dry Index was reported lower at 827 points as on 27 Jan’17 due to the bearish market outlook arising on account on the dull shipping activity during the Chinese holidays. The index is an indicator of global movement in cargo shipping freight rates, in respect to all classes of vessels, transporting all kinds of commodities, including coal and iron ore.
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