The USG Supramax freight market switched to a positive mode amid more cargoes around (mainly grain cargo enquiries), especially on fronthaul routes. During the month, high activity levels were observed with rates rising across all routes. Tonnage supply was tight for spot dates, while cargo demand was strengthening.
Freight rates for transportation of a Supramax-lot of petcoke from Houston to ARA ports with spot laycans are at US$18.50/t on average. Deals for delivery of 50,000t of petcoke from Houston to Iskenderun with spot laycans are discussed at around US$22.50/t on average. Shipping costs for delivery of a Supramax-lot of petcoke from the USG to EC India are at US$38/t on average.
The USG freight market will likely remain supported on all routes. New cargo offers regularly enter the market for spot and forward dates, creating a positive sentiment among shipowners. Many owners now prefer to stay in the the USG/USEC (US East Coast) area and show little desire to take on long fronthaul trips since they expect the USG market to strengthen before much longer.
