India: Dry bulk coal freights increase despite slower activity across Atlantic, Pacific basins

• Owners reluctant to reduce freights despite ample tonnage
• Subdued Pacific activity likely to cap further hikes in rates

India-bound dry bulk coal freights increased in the assessment week ended 28 July 2026 despite ample vessel availability. Healthy cargo programmes from major loading regions and resilient owner sentiment continued to lend support, although subdued Pacific fixing activity limited further upside.

Market activity was relatively subdued during the week, with fresh cargo enquiries failing to keep pace with the expanding tonnage list across key loading regions. While owners remained reluctant to trim freight expectations, charterers maintained a wait-and-watch approach, resulting in slower fixture negotiations and a more balanced bargaining environment.

A shipbroker told BigMint, “The market appears to be softening gradually. Cargo demand is still not strong enough to absorb the growing tonnage supply. Owners are still holding their ideas, but with more vessels entering the market, negotiations have become increasingly balanced.”

Meanwhile, easing geopolitical tensions in the Middle East have reduced uncertainty across energy markets, with lower Brent crude and bunker prices easing cost pressures. However, participants noted that softer fuel costs alone are unlikely to influence freight direction unless cargo demand strengthens.

“With the war risk premium easing, many charterers are waiting for better opportunities. Unless fresh cargo demand improves, freight rates are likely to remain under mild pressure,” another shipbroker said.

Route-wise update

Outlook

India-bound dry bulk coal freights are expected to remain largely stable to firm in the near term, supported by steady import requirements and owners’ reluctance to lower freight expectations. Any pickup in fresh cargo enquiries could tighten prompt vessel availability and provide additional support to rates.

However, abundant tonnage, subdued Pacific chartering activity, and cautious buying interest are likely to cap upside. Softer bunker prices may ease operating cost pressures, but freight direction will continue to hinge on the pace of fresh fixture activity and coal procurement by Indian buyers.