42 week: Russian River, Azov / Black Sea, Caspian; Coaster shipments

The potential one month deferral of the introduction of restrictions resulting in complication of grain shipping to Turkey is widely associated with the agreement on Turkish tomato imports to Russia. Some Ship Owners claim that the procedures in respect to grains have been implemented, but they are carried out quickly and do not cause any trouble. The last tough week has not brought a freight rates slump or a decrease in the amount of Exporters willing to ship grains to Turkey.

The Ship Owners still prefer short voyages and are fixing their vessels for several voyages in advance, many of them are showing their open positions only for the second half of November. Cargo supply on the market is exceeding the amount of tonnage in the region, and freight rates are most likely to continue to grow.

The active growth of freight rates from Russian Azov Sea ports has provoked an interest to these ports from the side of such sea-type vessel Owners that do not call Azov Sea for draught reasons. The difference in freight rates for voyages from other Black Sea ports can compensate them for “dead freight” from Azov Sea ports, and they are actively offering voyages from Temryuk/ Taganrog and Yeisk. Tonnage of available enhancement by the vessels untypical for the region is hampering freight rates growth, and this effect will continue until the setting of ice restrictions, because this fleet is not ice-classed. According to Black Sea Charterers, the outflow of fleet to Azov ports has led to a growth in rates for voyages from the Black Sea.