Bulk shipping freight rates have remained steady at the rates prevailed the week last.
Cargo ships have been in demand due to the ongoing coal and iron ore imports in the key Asian regions. Imports of coal and iron ore have been robust in China due to active steel production going on in that country.
Market participants, however, expect demand for cargo ships to dampen in the next week due to the holidays in China and Japan.
Freight rates are thus expected to remain steady.
Current freight rates (coal cargoes)
| Route | Supramax | Panamax |
| Australia to India | 14.5 | 11 |
| South Africa to India | 12 | 9 |
| Indonesia to India | 8 | 6 |
Freights in USD/MT
Source: SteelMint Research
Current freight rates (iron ore cargoes)
|
Route |
Supramax |
| India to China |
10 |
Freights in USD/MT
Source: SteelMint Research
The Baltic Dry Index was recorded at 800 points as on 16 Sep’16. The index has gone higher, indicating positive sentiments in the cargo shipping market. The index is an indicator of global freight rate movements in respect to all classes of vessels, transporting all kinds of commodities, including coal and iron ore.
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