Ocean Freight Comments
Transportation and Export Report: Jay O’Neil, O’Neil Commodity Consulting: It was another rather flat week in global dry-bulk freight markets. As mentioned previously; there really isn’t much reason for markets to move significantly in either direction and things are therefore pretty much range-bound for now. This is comforting news for freight buyers but not at all good for vessel owners and investors – and vessel owners are certainly feeling the pain. Vessel owner Golden Destiny has delayed the construction and delivery of 19 new vessels out to 2017. The company reported a loss of 15.3 million USD in the first quarter of 2015. It is easy to conclude that Golden Destiny is not alone in this situation and we should expect to see more of this as we go forward. The market turnaround is not in sight.
Below is a recent history of freight values for Capesize vessels of iron ore from Western Australia to South China:
The charts below represent January-December 2014 annual totals versus year-to-date 2015 container shipments to Taiwan.
