+380 67 625 91 65In the Black Sea, the freight market for shipowners remains extremely unfavorable, despite a slight reduction in the amount of available tonnage. The number of solid cargo offers remains minimal, which makes it impossible for shipowners to raise rates. Even on the eve of the new grain season, shippers do not demonstrate their willingness to go beyond the current rate levels, and existing offers remain at the lower limit. Against the background of weak demand, shipowners are forced to agree to minimum conditions in order to save loading. The negative dynamics of demand for agricultural products in key areas has become an additional pressure on the market. The absence of a significant increase in shipments, even with the start of the season, creates risks of a prolonged stagnation period. The forecast for the coming weeks remains modestly negative: without a significant increase in export volumes, the market is unlikely to show recovery.
The Mediterranean Sea market continues to have a tonnage surplus, which creates steady pressure on freight rates. There is still an oversupply of ships in almost all segments, while export volumes for the main commodity items do not show steady growth. Shippers maintain their dominant position and successfully keep rates at low levels, despite attempts by shipowners to stop further declines. The increase in bunker fuel prices partially offset the losses of fleet owners, but this is not enough to generate a positive margin. Trading activity remains limited, and most transactions take place on minimal profitability terms. In the near term, the market is unlikely to be able to exit the current phase of weak dynamics. It is predicted that the fleet surplus will remain and the rates will move inertially near the minimum values.
The situation in the Sea of Azov is even more difficult for shipowners than in other parts of the basin. The market shows extremely low activity: offers for grain and coal remain single, and freight rates practically do not exceed the base values. Even when discussing grain supplies for the new crop with dates for the first half of July, the proposed levels are only slightly higher than the spot figures. Shipowners working in the sea-river direction are faced with the need to operate below the level of operating costs, which makes the activity unprofitable. Shippers maintain a tough stance, lowering bids and delaying fixing until the last moment. The prospects for rate increases remain extremely uncertain, as even with an increase in harvest volumes, cargo flows may be redistributed towards more profitable ports. In the short term, the market is likely to remain under pressure with minimal chances of recovery.