By Brannvoll ApS, Denmark
The USG Supramax spot freight market finished the month on a positive note with rates continuing to increase as tonnage supply appears tight, while demand remains healthy. This especially relates to the fronthaul trips as fresh petcoke and grain cargoes are steadily trickling in.
Meanwhile, the transatlantic segment had its ups and downs with rates dropped on transatlantic routes in the first half of the month but bounced back closer to its end.
Freight rates for transportation of a Supramax-lot of petcoke from Houston to ARA ports with spot laycans are at US$22.50/t on average. Deals for delivery of 50,000t of petcoke from Houston to Iskenderun with spot laycans are discussed at around US$27.50/t on average. Shipping costs for the delivery of a Supramax-lot of petcoke from USG to EC India are at US$53/t on average.
Supramax freight rates for petcoke from Houston, USA, March 2019-December 2023
The USG freight market is expected to preserve the upward trend amid brisker exports of petcoke and grain on fronthaul routes. Only depressed sentiment in neighbouring regions and growing competition for US cargoes from vessels opening in East Coast South America (ECSA) and Continent/Mediterranean can prevent local shipowners from raising rates.
