13 week: Russian River, Azov Sea, Caspian Sea; Coaster shipments

It is safe to say that the decline of the Azov freight market has stopped. Almost the entire Russian-flagged fleet has switched to work in transit. Despite this, the rates for the transportation of goods from the Caspian region are growing: during the closed navigation, large volumes of grain for export were formed. Transit voyages with fertilizers from Turkmenistan to the Marmara Sea are offered at the level of the average 60s per ton. “Backhaul cargo” to the Caspian Sea is quoted much lower: the rate for a voyage from the Marmara Sea to Kazakhstan for a 3k river-sea type vessel is kept at the level of USD 110-120k. Sometimes, due to the lack of direct voyages to the Caspian Sea, Owners work with backhaul cargo to Rostov and, if possible, take grain to Iran.

Charterers’ expectations for falling rates are not met. There has become less grain, but due to the rotation of the fleet and unshipped parcels for April, the market of the Black and the Mediterranean seas is kept from falling. Until mid-April, there are expected no significant changes.

The situation with voyages to Israel is not easy. For more than a month, vessels have been standing there for a long time in waiting for discharging. The situation is not expected to improve in the near future. This has led to the fact that most non-grain cargo is offered on Liner Out basis. Neither the receivers nor traders want to undertake risks and responsibility for the long idleness of vessels.