Dry bulk iron ore freight rates exhibit diverse trends
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Dry bulk iron ore freight rates have shown diverse trends this week. Recovery of portside demand and recovery in buying interest from Chinese buyer have kept freight largely stable for smaller vessels. Additionally, Australian miners are also actively booking large vessels at larger quantity from the western port to China, which have maintained the momentum of trade activities in the global market.
Iron ore (Fe 62%) fines spot prices decreased by $17/tonne (t) w-o-w to $100/t CFR China last weekend. Whereas, a recovery of $8/t is seen in the past two days, iron ore (Fe 62%) fines spot prices to $107.90/t CFR China on 19 Mar'24 amid recovery in buying activities. A few end-users were seen restocking iron ore at seasonally low prices.
Asia-Pacific supramax dry bulk (50,000-55,000 t) freight rates for an iron ore vessel from the east coast of India to China were recorded at same level this week at $14.47/t on 20 March, as per BigMint assessment.
Route specifications:
- India-China: Less cargoes and absence of movement of ships was seen in the Indian ocean. Notably, enquiries are not yet recorded in this week.
- Australia-China: Australian major miners BHP and FMG are actively seeking tonnage for west Australia to China routes, the delivery period is the first week of April month. As per sources, other major miner Rio Tinto have also enquired for capesize vessel for the period first week of the next month, the enquiry is still under negotiation.
- Brazil-China: The freight rates from Pacific region dipped on lack of trading activities. The enquiries for Tubarao port for the month of April are still in the negotiation stage, might get concluded in near future.
- South Africa-China: Absence of fresh fixtures still continous for the route are witnessed, as market players have not floated any enquiries in this week.
