The indicator of the freight shipping market continues its downward trend, a situation aggravated by Easter holidays. The freight market has dropped below 1000 units.

“Despite the index decline, the average daily income of vessels remains above the OPEX Break Even Point, with the sole exception of Panamax that for about a week cannot cover their OPEX. According to the latest figures, the downwards Panamax trend is due to the over-supply of ships in the Atlantic, as well as due to delays or cancellations of Grains exports from South America to China”, according to international shipping brokerage house G.  Moundreas SA.

“In general, the index’s decline is partly due to surplus tonnage in the market due to the reduction of Iron Ore imports from China as well as the lesser demand for Soybeans from China”, he adds.

It is even speculated that China is likely to cancel loads of Grains from Brazil which will result in the further reduction of daily revenue.