Ocean Freight Comments
Transportation and Export Report: Jay O’Neil, O’Neil Commodity Consulting: The Capesize market remains soft as cargo demand out of Australia and Brazil has not yet improved. Short covering in the Panamax sector has supported values and allowed Panamax and Supramax markets’ daily hire rates to rise slightly.
The containerized shipping situation remains much the same, which is not good news for grain exporters and international buyers. Shipping lines state they do not expect to see substantial improvement in service or rates until early or mid-2022. My expectation has been the should see some improvement in the logistical picture by November or December, but much will depend on the economy and consumer spending levels.