Ocean Freight Comments
Transportation and Export Report: Jay O’Neil, O’Neil Commodity Consulting: Dry-bulk markets remain lethargic. As such, there is not too much new to say about these markets. Vessel owners are disappointed with the lack of technical follow-through and cargo support. Additional cargo demand is needed to sustain a market rally, and everyone is still waiting for global economic development to improve. Unfortunately, the economic news of late has been trending in the opposite direction.
In other news, we continue to experience very high water flows on the Mississippi River and through the Port of New Orleans. Due to the resulting silting in the Southwest Pass exiting the River to the Gulf, vessel drafts have been restricted to 41 feet (a reduction of 6 feet in draft). Export vessel loading capacity has also been reduced. Let’s hope things up North dry out soon. Planting season is supposed to be starting.
